Gainesville had the second highest price of gasoline in the state this week, with prices reaching $2.88.
Atlanta was the highest at $2.90, with Athens tailing in third-highest at $2.87; prices were lowest in Augusta-Aiken and Warner Robins at $2.71, according to AAA's weekly fuel price report.
Georgia gas prices increased six cents during the past week. It costs roughly $43 to fill an average size tank of gas. Memorial Day prices touched $2.84, making the most expensive prices for that holiday since 2014. Prices then were $3.62 a gallon.
Motorists should see lower prices at the pump soon, as oil and gasoline futures prices plunge. That's because Russia and Saudi Arabia expressed interest in raising oil supply.
"This news couldn't come at a better time, as motorists roll into the summer driving season," said Mark Jenkins, spokesman for AAA. "The drop in crude should amount to a discount of at least 10 cents at the pump, in the short term. Yet that will not happen overnight. Retailers are usually slow to lower prices, especially those who bought shipments of gasoline when prices were at a premium."
Crude oil prices declined late in the week after Saudi Arabia and Russia discussed raising oil output by as much as nearly 1 million barrels per day. A decision is not expected until June 22-23. Saudi Arabia and Russia have been part of a voluntary production cut agreement among both OPEC and non-OPEC oil producing countries. The agreement called for a reduction of 1.8 million bpd in the market. The effort to reduce the global oil glut and raise oil prices worked faster than expected. In fact, there are now fears of a supply shortage, as Venezuela's oil market has collapsed, and new sanctions against Iran will reduce its contributions to global supply.
Early last week, U.S. oil prices traded at 3.5-year highs of nearly $73 per barrel. On Friday, crude prices plunged below $68 - the lowest daily closing price in three weeks. Overnight, WTI fell below $67. Oil has not settled below $67.
Friday
April 26th, 2024
5:39AM
