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In a heavy-bottomed saucepan, heat the butter over medium heat until it is frothy. Add the mushrooms and shallots and sauté until the mushrooms are soft and the shallots are translucent, about 5 minutes.
Add the demi-glace, bring to a boil, then lower heat to reduce the sauce, cooking at a simmer for about 10 minutes.
Stir in the sherry, season to taste with lemon juice, and serve right away.