Brent crude futures fell to $79.42 per barrel during Friday morning trading. WTI crude slipped to approximately $76.43 per barrel.
Prices declined after an interim peace agreement between the U.S. and Iran restored traffic through the Strait of Hormuz. Three Saudi-flagged supertankers carrying 6 million barrels of oil have already passed through the waterway.
Analysts estimate the deal could release over 85 million barrels of previously stranded oil. The agreement may also lead to the removal of sanctions on Iranian oil exports.