1st LD Writethru: Oil prices fall amid Greek default risk

Oil prices lost Monday as Greek leaders failed to reach an agreement with its creditors.

The two-day talks in Brussels between representatives of the Greek government and creditors over the prerequisites for the disbursement of further aid to Greece ended inconclusively on Sunday evening. Worries about a possible Greek Eurozone exit weighed on the market.

Greek Prime Minister Alexis Tsipras has accused Greece's lenders of "political expediency" due to their insistence that the most indebted country in Europe take further austerity measures.

Hopes to strike a deal now move to Thursday's Eurogroup meeting of finance ministers in Luxembourg which many believe is the last chance before Greece's EU bailout expires by the end of June.

Oil prices also fell amid the surplus output from the Organization of Petroleum Exporting Countries (OPEC).

Saudi Arabia, Iraq and the United Arab Emirates pumped at record monthly rates in May. Iraq planned to boost crude exports in June.

Traders are eyeing on Iran ahead of the June 30 deadline for the country and world powers to reach an agreement on curbing nuclear program.

Light, sweet crude for July delivery moved down 44 cents to settle at 59.52 U.S. dollars a barrel on the New York Mercantile Exchange, while Brent crude for July delivery decreased 1.26 U.S. dollars to close at 62.61 dollars a barrel. Endite