Fill Dutch oven with sliced peaches. Mix remaining ingredients and add into pan. Lightly toss to coat peaches.
Place Dutch oven over low heat. Allow peaches to simmer, uncovered for 5–6 hours, occasionally stirring. If peaches start to stick to pan, add additional ¼ cup of bourbon.
Once peaches start to break down and sauce thickens, remove from heat. Allow to cool completely. Use a masher and gently mash peaches, allowing for the butter to be chunky and spreadable.
Butter can be kept in refrigerator up to 3 weeks, or can be canned with traditional water bath for 20 minutes for a shelf life up to a year. Butter may be frozen, as well, for up to 6 months in appropriate containers.
Serve on your favorite breads, with local cheeses, on top of ice cream or even muddle in your favorite bourbon cocktail for a twist.
* Natural pectin, a setting agent, is found in peach skins.