World oil prices, which were already falling today, extended losses after Iranian President Mahmoud Ahmadinejad said that 15 British sailors captured by Iran will be freed immediately.
In London trading, the price of Brent North Sea crude for May delivery shed 56 cents to $67.25 in electronic deals.
New York's main oil futures contract, light sweet crude for delivery in May, slid 49 cents to $64.15 in pit trading.
Concerns that the stand-off could have led to Iran, the world's fourth largest oil producer, to disrupt its crude exports, propelled crude futures to seven-month peaks above $69 a barrel in London on Monday.
