Oil prices fell after Iran called on the United States to return to the terms of a memorandum of understanding that had previously failed, according to CNBC. The move raised the prospect of a diplomatic solution to tensions involving Iran, which markets appeared to interpret as easing supply concerns.

Iran’s foreign minister said the country has asked the U.S. to meet the same conditions that were laid out in a June 17 memorandum of understanding, CNBC reported. The reference to a specific set of prior conditions signals Iran’s preference for reviving an earlier framework rather than negotiating entirely new terms.

The June memorandum did not hold, and Iran’s latest request frames a return to those earlier conditions as the basis for renewed engagement with Washington. CNBC described the development as a potential diplomatic opening in the ongoing conflict.

Energy markets are highly sensitive to signals of reduced geopolitical risk in the region. News of possible diplomatic progress can ease fears of supply disruptions, which in turn tends to put downward pressure on crude prices, as reflected in the decline reported by CNBC.

The details of what the June 17 memorandum required, and how the United States might respond to Iran’s request, were not specified in the available reporting. As a result, the prospects for a renewed agreement remain uncertain.