Preheat the oven to 400°. In a large skillet, warm 1/4 cup of the olive oil. Add the sliced garlic and cook slowly over very low heat, shaking the skillet, until the garlic is deep golden, 15 minutes. Remove about 1/4 cup of garlic slices to a plate and reserve. Add the paprika to the garlic in the skillet and cook for 1 minute. Add the tomatoes and cook over moderately high heat for 1 minute. Add the water and simmer until the sauce has reduced to 1 1/2 cups, about 10 minutes. Season with salt and pepper.