Preheat oven to 350 degrees.
1. Grease the bottom and sides of small oblong Pyrex pan, or similar baking pan.
2. Melt together butter and olive oil in small skillet over medium heat. Stir in onion and sauté until tender.
3. Combine cooked onions, chicken, soup, sour cream, milk, pimento, and chilies in a medium sized bowl. Mix well.
4. Spoon mixture into prepared baking dish. Bake for 15 minutes and remove from oven.
5. Sprinkle warm chicken mixture with 3/4 cup cheese. Arrange thawed biscuits on top. Sprinkle remaining cheese on top of biscuits. Bake until biscuits are golden brown and sauce is bubbly, approximately 20 minutes.
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