Sort beans; pick free of rocks and tiny dirt clods, and discard any shriveled beans; rinse with cold water in a colander. Place in a large pot; add ½ of the water and bring to a rapid boil. Lower heat, cover with a lid and simmer for 15 minutes. Turn off heat and allow to sit for 1 hour.
Drain beans back into the colander.
Wipe out cooking pot and add ¼ c canola oil and fry bacon until lightly browned. Add onion and peppers and sauté until onion is translucent. Add garlic and continue cooking until fragrant. Immediately add tomatoes and 1 cup of water to deglaze the pan.
Return beans to the pot and add 5 more cups of fresh water, bottle of beer, and Cholula Hot Sauce. Bring to a boil; reduce heat to a simmer. Cook until tender, about 1 1/2 to 2 hours. Add water occasionally, 1 cup at a time, to prevent beans from drying out.
Adjust with salt and pepper to taste. Right before serving, stir in cilantro.