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In a medium saucepan on medium heat, combine the water, 1 cup of sugar, salt, vanilla, and 2 tablespoons of oil. Bring to a boil, then promptly remove from the heat.
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Add the flour and stir with a sturdy wooden spoon, making sure all the flour is completely mixed in. Check to make sure there are no pockets of dry flour hiding in your dough.
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Allow the dough to cool for a few minutes, then place it into a cloth piping bag with a large star tip on it. The large tip ensures you are not working too hard to squeeze the dough out.
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Pipe out your churros, about 4 inches long, onto a nonstick or wax paper–lined baking sheet, and refrigerate for 20 minutes. Cold churro dough is easy to handle and fries better.
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In a large pot, bring the rest of the vegetable oil to 350°F, using a thermometer to keep an eye on the oil temperature. This is very important for getting a nicely fried churro. You may have to adjust the heat on your stovetop to keep the oil at a constant temperature during frying.
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Slide a few churros into the oil. Make sure to leave enough room for them to float around in the pot. Fry the churros until they are golden brown, about 3 to 4 minutes each.
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Remove the churros from the oil with a slotted spoon or tongs. Let them drain on a rack over a baking sheet or on paper towels.
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Combine the remaining 2 tablespoons of sugar with the cinnamon in a large bowl. Toss the churros around in the bowl, a few at a time, to coat.
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Serve drizzled with Mexican Spiced Chocolate Sauce.