Oil prices fall on worries of fall in demand from Japan

Oil fell in Asian trade on Monday on concerns that demand from quake-hit Japan would be affected, analysts said.

New York's main contract, light sweet crude for delivery in April, dipped $1.28 to $99.88 per barrel. Brent North Sea crude for April delivery lost $1.39 to $112.45.

"In the short term, there might be some demand disruptions due to the Japanese earthquake, but there will be an increase in fuel oil imports due to the lost nuclear power capacity, which will be supportive of fuel oil prices in the near term," said Chen Xin Yi, commodities analyst for Barclays Capital.

Crude futures fell immediately last week in reaction to Friday's massive 8.9-magnitude earthquake off Japan, unleashing a tsunami that battered the country's northeast coast and stretched across the Pacific.

Traders worry the disaster will affect energy consumption in Japan, the world's third largest economy.