1/2 liter of pure grain alcohol (you can also use grappa, vodka or everclear)
the skin of 5 organic Sicilian blood oranges (careful not to skin the orange too deep - you don't want the white pith)
1/2 kilo of sugar
1 liter of water
In a large jar with a lid, soak the orange-rind peels in the alcohol and leave in a cool dark place for about 14 days.
After it has sat for 14 days or so, filter the rinds from the alcohol. Boil the water & sugar, making a simple syrup, stirring to dissolve all the sugar in the water. Then add the orange flavored alcohol. Bottle.
I make about 10 liters of this liquor so I place 1 bottle in the freezer ready to serve and the rest in a cool dark place. Arancello, like limoncello will last a year or more in proper storage.
If the alochol is too strong of a flavor, it is also nice to serve it with a drop of heavy cream or dollop of whipped cream atop - then it is referred to as Crema di Arancello.