Oil prices dropped more than $1 on Thursday as renewed diplomacy between Iran and Qatar raised hopes of reopening the Strait of Hormuz, easing global energy supply disruptions. The decline followed months of tension after US-Israeli strikes disrupted fossil fuel production and turned the strategic waterway into a battleground. Iranian officials have signaled readiness to draft conditions for reopening the strait, responding to mediator requests. The move comes as global markets assess the long-term economic impact of the conflict on energy security. Analysts note that a stable Hormuz could significantly reduce volatility in oil markets. The situation remains closely watched by investors and governments dependent on uninterrupted energy flows.