Euro zone finance ministers will on Monday decide what terms of a Greek debt restrcturing they are ready to accept as part of a second bailout package for Athens. Resolving the issue is key to avoiding a chaotic default that could threaten the entire currency bloc. Also on Monday, European Union governments are expected to agree on new economic sanctions against Iran over its nuclear programme, including plans to phase in an oil embargo. Front-month Brent rose 18 cents to $110.04 a barrel by 0300 GMT, trading in a narrow range. US crude fell 29 cents to $98.04, after sliding to as low as $97.40, the lowest since Dec. 21. "Both of these meeting (on Monday) are going to be crucial in dictating oil prices," said Ben Le Brun, market analyst at OptionsExpress. "Any indication of a plan getting approved to tackle Greece's debt would support oil. An Iranian oil embargo would also boost prices as demand continues to improve." The twin factors may help push the US benchmark back above $100 this week, while Brent may rise closer to $115, Le Brun said. US crude settled above the $100 mark for most of last week, but settled at $98.46 on Friday pressured by economic uncertainty ahead of a possible debt deal in Greece. The European Union's new sanctions follow fresh financial measures signed into law by US President Barack Obama on New Year's Eve, and will mainly target the oil sector, which accounts for some 90 percent of Iranian exports to the EU. Europe is Iran's second-largest oil customer after China. The EU measures are also expected to include sanctions against the Iranian central bank and a ban on trading in gold with the government, diplomats say. "Today, markets will be watching headlines from Europe, with EU ministers to decide on a ban on Iranian crude exports," analysts at ANZ said in a report. "Softer demand appears to be outweighing concerns over potentially tighter supplies." EURO ZONE The euro zone finance ministers meeting comes after private creditors said on Sunday they had come to the limits of what losses they could concede in a debt swap with the country. Athens needs a deal on the plan, meant to cut 100 billion euros from its debt burden of over 350 billion, in coming days, ahead of a major redemption that falls due in March. Without another bailout, Greece will not be able to pay back 14.5 billion euros in maturing bonds in March, triggering a messy default that would hurt the whole euro zone economy and likely depress energy demand.