Heat oil over medium heat. Add onions, carrots and garlic. Cook 10 minutes, stirring often.
Add basil, oregano, salt, black pepper, crushed red pepper and tomato paste. Cook 5-6 minutes, stirring frequently, to caramelize tomato paste.
Add canned tomatoes, stock and bay leaves. Simmer on low heat for 1 hour, stirring often.
Add balsamic vinegar and remove heat.
Yield: 1 gallon