1 can (4 ounces) mushroom stems and pieces, undrained
1 tablespoon butter
2 cups all-purpose flour
1/4 cup sugar
2 teaspoons baking powder
1 teaspoon salt
1 large egg, beaten
3/4 cup milk
1/4 cup canola oil
1/2 cup shredded sharp cheddar cheese
Drain mushrooms, reserving 1/4 cup liquid. Chop mushrooms. In a small skillet, saute mushrooms in butter for 3 minutes. Remove from the heat.
In a large bowl, combine the flour, sugar, baking powder and salt. Combine the egg, milk, oil and reserved mushroom liquid; stir into dry ingredients just until moistened. Fold in cheese and mushrooms.
Fill greased muffin cups three-fourths full. Bake at 350° for 25-30 minutes or until a toothpick comes out clean. Cool for 5 minutes before removing from pan to a wire rack. Serve warm.