Heat a medium size deep pan over medium heat. Add olive oil and rice and sauté for 3 to 5 minutes. Watch closely that they don't burn.
Add water, tomato sauce, diced tomatoes, chili powder, cumin powder, garlic powder, dried oregano, smoked paprika, black pepper and salt and bring it to boil.
Reduce heat to low-medium, partially cover with lid and simmer until water fully dissolves (about 15 minutes). Then remove from heat.