UPDATE 8-Brent falls on Iran, U.S. oil rises after Antwerp blast

Anna Louie Sussman
Tuesday, 19 Nov 2013 | 1:03 PM ET

* World powers and Iran resume talks on nuclear deal on Wed.

* Total's Belgium gasoline unit shut after deadly explosion

* U.S. gasoline futures break previous session high

NEW YORK, Nov 19 (Reuters) - Brent futures slipped on Tuesday as investors eyed talks this week between world powers and Iran that could lead to an easing of sanctions against the oil-rich country.

U.S. oil rose on the back of higher oil product prices after news of a fire at Total's 360,000 barrel per day (bpd) Antwerp refinery in Belgium. The fire at Europe's second-largest refinery killed at least one person and halted gasoline production.

"The blast would reduce all product supplies, gasoline and ULSD (ultra low sulfur diesel)," said Amrita Sen, chief analyst at consultants Energy Aspects. "Gasoline exports to the U.S. would fall."

January Brent crude was 72 cents lower at $107.75 a barrel at 12:42 p.m. EST (1742 GMT), down for a third straight session. U.S. crude for December rose 9 cents to $93.12 after earlier falling to a fresh four-month low of $92.43.

RBOB gasoline futures broke Monday's session high, rising by as much as 2.19 cents to a high of $2.6787 per gallon. Heating oil also rose 0.5 percent to $2.9375 per gallon.

The U.S. oil price narrowed its discount to Brent by more than 90 cents to $13.85. It had widened to more than $15 a barrel earlier in the session.

The six major world powers and Iran will start talks on Wednesday to try to forge an interim deal on Tehran's nuclear program.

U.S. Secretary of State John Kerry pressed Iran on Monday to finalise a deal, but said he has "no specific expectations" for talks in Geneva.

Sanctions on Iran have kept around 1 million barrels per day (bpd) of oil from the global market and any deal could allow some of that oil to be sold, depressing a market that is already well supplied.

Brent prices were further weakened after oil loading at Libya's western Mellitah terminal resumed after weeks of unrest that reduced the OPEC-producer's exports to a trickle.

Traders also awaited oil inventory data. U.S. crude inventories were forecast to have increased by 100,000 barrels last week, while gasoline supply grew by 200,000 barrels, according to a Reuters poll.

Industry group the American Petroleum Institute will release its weekly data at 4:30 p.m. EST (2130 GMT), while the U.S. Energy Information Administration will report its data on Wednesday at 10:30 a.m. EST (1530 GMT).