In a saucepan, saute onions and parsley in oil and butter for 1 minute or until tender.
Add rice; cook over medium heat until rice is coated with oil and translucent, about 3 minutes.
Stir in the broth, pepper and bay leaf. Bring to a boil; reduce heat, cover tightly and simmer for about 18-20 minutes or until liquid is absorbed and rice is tender. Discard bay leaf.
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