Orange Chocolate Fudge

3 cups sugar
1/2 cup water
1/2 cup orange juice
1 12 oz pkg semisweet chocolate pieces
1 tbsp grated orange peel
2 cups coarsely chopped walnuts

In a 3 quart saucepan, combine sugar, water and orange juice. Place over medium heat and cook, stirring until sugar is dissolved. Using a candy thermometer, cook syrup without stirring, until temperature reaches 234 degrees or soft ball stage. Remove from heat and whisk in chocolate until well blended. Stir in orange peel and walnuts. Spread in a 9 x 9 foil lined pan and chill until set. Turn out of pan and peel off foil. Cut candy in squares. Store covered in cool dry place.