OIL FELL BELOW $70 ON MONDAY ON HOPES THAT TENSION OVER TEHRAN'S NUCLEAR AMBITIONS WILL EASE AFTER IRAN SAID ITS PRESIDENT WOULD SEND A LETTER TO U.S. PRESIDENT GEORGE W. BUSH SEEKING TO RESOLVE THE "CURRENT SITUATION IN THE WORLD." U.S. LIGHT CRUDE FOR JUNE DELIVERY LOST 34 CENTS TO $69.85 A BARREL BY 0835 GMT, ERASING GAINS FROM LATE FRIDAY. LONDON BRENT CRUDE FELL 39 CENTS TO $70.56 A BARREL. PRICES ARE MORE THAN $5 BELOW THEIR RECORD HIGHS TOUCHED TWO WEEKS AGO BUT UP ABOUT 15 PERCENT SINCE THE START OF THE YEAR, ACCORDING TO A REPORT OF REUTERS. AN IRANIAN OFFICIAL SAID ON MONDAY THAT PRESIDENT MAHMOUD AHMADINEJAD WOULD SEND A LETTER TO HIS U.S. COUNTERPART TO BE DELIVERED TO THE SWISS EMBASSY IN TEHRAN, WHICH REPRESENTS U.S. INTERESTS IN IRAN. "IN THIS LETTER, HE HAS GIVEN AN ANALYSIS OF THE CURRENT WORLD SITUATION, OF THE ROOT OF EXISTING PROBLEMS AND OF NEW WAYS OF GETTING OUT OF THE CURRENT VULNERABLE SITUATION IN THE WORLD," GOVERNMENT SPOKESMAN GHOLAMHOSSEIN ELHAM SAID.
