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Preheat oven to 350ºF.
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In a large skillet heat 1 Tablespoon of olive oil over medium heat.
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Place mushrooms in skillet and sauté until mushrooms are cooked down and have become dry and tender (about 20 minutes). Set aside.
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While mushrooms are cooking, add 1 Tablespoon of olive oil to a second skillet and heat over medium heat.
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Place sliced red onion into skillet and cook until soft and caramelized (about 20 minutes). Set aside.
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Place 1 cup of the cooked mushrooms, garlic, walnuts, parsley, salt and pepper into a food processor. Process until coarse.
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Stream oil into coarse mixture to form the pesto.
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Place phyllo cups on a baking sheet.
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Add 1/2 to 1 teaspoon of pesto to bottom of each phyllo cup.
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Place 1/2 teaspoon of mushroom mixture on top of pesto.
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Place sprinkle of caramelized onions over mushrooms.
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Bake phyllo cups for 10-12 minutes until edges begin to brown.
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Allow to cool slightly, garnish with chopped parsely and serve.