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Chicken Marengo

4 (6 oz) boneless skinless chicken breast halves
1/4 cup all-purpose flour
1/2 teaspoon salt
1/4 teaspoon black pepper
1/4 cup extra-virgin olive oil
3 large portabella mushrooms, stems and gills discarded and caps thinly sliced
1 small shallot, finely chopped
1 garlic clove, minced
1/2 teaspoon dried thyme, crumbled
1/2 cup dry red wine
1 (14 to 15 oz) can whole tomatoes, drained and chopped
1/2 cup beef or veal demi-glace
1/2 cup water

> Put oven rack in middle position and preheat oven to 350 F.
> Pat chicken dry, then combine flour, salt, and pepper in a large sealable plastic bag and add chicken. Seal bag and shake to coat, then remove chicken, knocking off excess flour. Arrange in 1 layer on a plate.
> Heat oil in a 12 inch heavy ovenproof skillet over moderately high heat until hot but not smoking, then saute chicken smooth sides down, until golden, about 2 minutes. Turn over and saute 1 minute more. Scatter mushrooms around chicken and transfer skillet to oven, then bake, uncovered, until chicken is just cooked through, 5 to 10 minutes.
> Transfer chicken to a plate, then add shallot, garlic, and thyme to skillet (handle will be hot) and saute over moderately high heat, stirring, 1 minute. Add wine and boil, stirring and scraping up brown bits, until reduced by half, about 1 minute. Add tomatoes, demi-glace and water and simmer unitl mushrooms are tender and sauce is reduced by half, about 4 minutes. Season with pepper.
> Return chicken to skillet and simmer, turning, about 1 minute.