Oil prices fell more than $1 a barrel in early Asian trading after Saudi Arabia offered additional crude cargoes to Asian refiners through ship-to-ship transfers off Oman, easing concerns about supply disruptions linked to attacks on its East-West pipeline. Brent crude futures dropped $1.24, or 1.2%, to $104.59 a barrel by 0049 GMT, while West Texas Intermediate fell $1.14, or 1.1%, to $101.29. Both benchmarks lost about $3 on Wednesday. Saudi Arabia had suspended crude loadings at the Red Sea port of Yanbu and canceled some European deliveries after attacks damaged two pumping stations on the pipeline. The U.S. Energy Information Administration reported that crude inventories fell by about 640,000 barrels last week, less than the 1.62 million-barrel draw expected in a Reuters poll. Middle East conflict risks remain as Saudi Arabia and Yemen's Houthi fighters exchanged attacks, while expectations of progress toward easing tensions ahead of a U.S.-China summit next week also capped prices.