London - Oil prices fell on Friday after the United States and Russia agreed a draft UN Security Council resolution on destroying Syria's chemical arms, easing Middle East supply concerns, analysts said.
Brent North Sea crude for delivery in November dropped 40 cents to stand at $108.81 a barrel in midday deals.
New York's West Texas Intermediate for November slid 46 cents to $102.57 per barrel.
“The easing of the geopolitical tensions and the plentiful supply of the market give little reason for any rise in prices,” said Commerzbank analyst Carsten Fritsch.
The draft US-Russia resolution, seen by AFP, does not propose immediate measures over a chemical attack in Damascus one month ago. But it allows for possible sanctions - after a new vote - if there are breaches of an armament plan.
The 15-member Security Council held its first talks on the text late Thursday and a vote could be held on Friday with several top ministers taking part, diplomats said.
Investors had earlier feared that a possible US-led strike on Syria in retaliation for its alleged use of chemicals against its own people would spark a wider conflict in the crude-rich Middle East.
A thaw in ties between the West and Iran was also tempering prices, traders said.
A meeting between US Secretary of State John Kerry and his Iranian counterpart on Thursday has raised hopes of an easing of Western sanctions against Tehran over its nuclear programme.
Such a move would allow the oil-rich nation to export more freely. - Sapa-AFP