Combine sugar and water in a heavy skillet.  Cook over medium heat, stirring constantly, until the sugar melts and the mixture thickens into a syrup.

Add the peanuts and continue stirring over medium heat for about 10 minutes, or until the liquids evaporate and a sandy-textured sugar mixture coats the peanuts.

Lower the heat, and continue stirring as the excess sugar in the pan begins to melt.  Once the syrup begins to form, it will turn from clear to golden to amber.  Stir constantly, bring careful that the heat is not so high that the peanuts and/or the syrup begins to burn.

When the syrup is a medium amber color and the sugary coating on the peanuts has glazed, add the salt if desired.  Pour the peanuts onto a parchment lined baking sheet.  Spread into a single layer to cool completely.  Break up any clumps.  Store in an airtight container.  Yield:  2 cups.