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In a food processor or blender, combine basil, nuts, cheese, oil, garlic, salt and pepper. Cover and process or blend until nearly smooth, stopping to scrape the sides as necessary.
Ladle pesto into a sterilized half-pint jar, leaving a 1/2-inch headspace. Seal and label. (Place any remaining pesto in an airtight storage container.) Refrigerate for up to 2 days. If freezing, transfer to a freezer-safe container. Seal and label. Freeze for up to 3 months.