Place the rice in an 8-inch square or other 1½-quart baking dish. No need to grease. Add the olive oil or butter and salt.
Meanwhile, boil water in a tea kettle or covered saucepan. When the water boils, immediately pour 2½ cups over the rice, stir to combine, and cover the dish tightly with foil. Bake on the middle rack of the oven for 1 hour.
After 1 hour, remove from the oven and let sit for 3 to 5 minutes and then remove the foil, being careful of the hot steam. Fluff the rice with a fork and serve.
Storage: Leftovers may be refrigerated for up to 5 days, or completely cooled and frozen for up to 6 months.