Place the sugar in an even layer into a small saucepan. Add the water and heat the pan to medium-low heat. Cook, without stirring, until the edges of the sugar-water begins to liquefy and bubble, about 10-15 minutes. At this point, begin stirring the sugar water until all the sugar has dissolved and the liquid has become a lovely amber color, 20-25 minutes. Watch out! The change tends to happen rather quickly. Remove from heat and slowly incorporate the heavy cream, whisking the entire time. The mixture will bubble up rapidly, this is perfectly normal.

Whisk in the remaining ingredients and return the pan to medium-low heat for about 5 minutes, whisking frequently to dissolve any clumps that may have formed. Remove from heat, set aside and allow to cool. Caramel will thicken as it cools.