** U.S. oil and gas producer Ovintiv's OVV.N shares rise 4.3% to $43.99

** Company to buy oil assets in Canada's Montney shale from Paramount Resources POU.TO for $2.38 bln in cash

** New assets to add 70,000 barrels of oil equivalent per day of production and nearly double Ovintiv's existing production in the shale

** "The assets come at a low entry cost, have the potential to grow oil production," Siebert Williams Shank analysts say

** Ovintiv to also sell its Uinta Basin assets in Utah to FourPoint Resources for $2 bln

** OVV to fund Montney deal with cash proceeds from Uinta sale, cash on hand and borrowings under its credit facility or temporary financing

** Ovintiv also pauses its share buyback plan

(Reporting by Sourasis Bose in Bengaluru)

((Sourasis.bose@thomsonreuters.com))