Red Deer will face the Sudbury Lady Wolves for gold on Saturday.
Cassidy Hollman scored in the second period for the Chiefs as Sarah Murray made 31 saves for the victory.
Sophie Shirley — the tournament's top scorer with 14 points in six games — supplied the offence for the Stars, who got a 26-save outing from Emma Johnson.
Red Deer went 1 for 10 on the power play while Saskatoon scored once on four chances.
Danika Ranger turned aside all 23 shots she faced as Sudbury blanked the Central Plains Capitals 3-0 in the other semifinal.
Kailey Lapensee, Carley Olivier and Tayler Murphy found the back of the net for the Lady Wolves.
Lauren Taraschuk turned away 17-of-19 shots for the Capitals.
Sudbury went 2 for 2 on the power play while Central Plains failed to score on four chances with the man advantage.
The Lady Wolves toppled the Chiefs 7-2 in round-robin play earlier in the week.
The Stars and Capitals will meet for bronze on Saturday.