Creamy Shallot Mushroom Sauce

2 T. extra virgin olive oil
2 T. unsalted butter
1/4 C. shallots, chopped
salt
pepper
4 glove garlic, minced
1/4 C. sherry
1/2 oz. each dried morel, wild lobster and chanterelle mushrooms reconstituted, chopped
2 C. chicken broth
1/2 C. heavy cream
2 T. cornstarch
3 T. water, mixed with cornstarch

In medium sized saucepan, heat oil and butter on high heat.  Add shallots, season with salt and pepper and caramelize.  Add garlic and cook until aromatic.  Add sherry and cook until liquid is almost evaporated.  Add mushrooms and chicken broth, and cook for an additional 5-6 minutes.  Add cream and cook for an additional 4-5 minutes or until slightly thickened.  Add cornstarch and water mixture and whisk constantly until thickened.  Remove from heat add additional salt and pepper to taste.