Gas Prices Go On a Roller Coaster Ride

[Joeylc]

FRIDAY DECEMBER 12, 2008 Last modified:
Thursday, December 11, 2008 11:59 PM CST

Gasoline price keeps falling

Contributed

PHOENIX - Across the state and country, prices at the pump, which have emerged as the silver lining of the country's economic gloom, have fallen for the 12th consecutive week. The national average for a gallon of regular unleaded gasoline is currently $1.664, which is a drop of 12.5 cents from last week. Statewide, motorists are paying an average of $1.703 per gallon, which is a drop of 15 cents from last week and the lowest statewide pump price since February 2004, and is nearly $1.30 lower than this time last year.

In addition to the statewide average reaching a four-year low, this week, for the first time since February 2005, all metro averages surveyed by AAA's Fuel Gauge Report are below the $2 mark. East Valley drivers have captured the state's lowest fuel price at $1.614 per gallon, while Flagstaff drivers continue to hold on to the highest fuel price in the state with an average of $1.924 per gallon.

This week, the Energy Department predicted that global oil consumption will decline by 500,000 barrels a day in 2008 and by 450,000 barrels a day in 2009. If the agency's prediction holds true, this would be the first time in three decades that world consumption would decline for two consecutive years. The government agency also predicted an average gasoline price for 2009 of $2.03 per gallon, and an average oil price of $51 per barrel. The agency also revealed that demand for fuel increased by one percent compared to last week but is still 3.6 percent lower than year-ago figures.

The cheapest gasoline in the lower 48 states can be found in Missouri, where unleaded regular is $1.450 per gallon. New Yorkers are paying the most for fuel in the country at $2.011 per gallon.

[Joeylc]

How low do you think gas prices will get?  Do you think it will last? and what are you currently paying? 


http://www.gasbuddy.com/

BHC high at Chevron $1.99 low at Fastrip $1.79
Lowest in the USA is in Kansas City $1.32

[JumpStart]

Here is a website that you can see gas prices almost anywhere in the country. 

http://www.detroitgasprices.com/

I found it to be very useful.  I think you will too.

Rich

[Joeylc]

What Does One Barrel Of Crude Oil Make?

    * QUICK STATS - One barrel of crude oil contains 42 gallons
    * - About 46% of each barrel of crude oil is refined into automobile gasoline
    * - In the US and Canada an average of 3 gallons of crude oil are consumed per person each day
    * - The US imports about 50% of its required crude oil and about 50% of that amount comes from OPEC countries

     
Product    Refined Gallons/Barrel
Gasoline    19.3
Distillate Fuel Oil (Inc. Home Heating and Diesel Fuel)    9.83
Kerosene Type Jet Fuel    4.24
Residual Fuel Oil    2.10
Petroleum Coke    2.10
Liquified Refinery Gases    1.89
Still Gas    1.81
Asphalt and Road Oil    1.13
Petrochemical Feed Supplies    0.97
Lubricants    0.46
Kerosene    0.21
Waxes    0.04
Aviation Fuel    0.04
Other Products    0.34
Processing Gain    2.47

 

[JumpStart]

Sorry didn't see the gas buddy post you put up.  It seems to be the same/sister site as I posted.

[JumpStart]

I tried to post this comparison chart only once, but somehow posted three times.

[tjkeller]

Truck Stop at Cheyenne, WY on 12/9/2008

[jay]

Here i Canada gas has dropped to .75c per liter. ITs cheap now.

0.75 x 3.8 (liters per gallon) =2.85 C$ x 0.78 (C$ to USD) = 2.23 / Gallon.

I cannot see this getting to under $1.00 per gallon.

I expect prices to stabalize to between $50 - $70 per gallon. The speculation is that Obama will introduce price stabliztion measures using the federal reserves.

IF gas prices get too low. The likes of Exxon will stop production at some of the higher cost facilities such as those that require water or steam injection to get them to produce.
This has the trickle down effect meaning that the hourly well workers are not needed etc. Back in the 80's when oil hit 19/barrel the joke here in oil rich alberta was.....
How do you get the attention of a Geologist "OH Waiter ! can I order now". You don't want oil companys laying off people.

Given all the economic woes that are occuring and the low price of gas - what you have stopped hearing about is the need to drill up in the Artic. Something that outgoing Bush was adament about.
Environmentalists (and a high number of Dem's are enviomentalists) want a higher oil price as it encourages investment into alternative fuels. You want to save the American auto industry you need to price gas
high so that will encourage people to buy new alternative energy vehicles made by an automobile industry.

[brichter]

Here in California we'll see ~$1.50/gal, not much lower due to our "special circumstances".