Gas drops below 60 cents a litre in Edmonton

The U.S. Energy Information Administration today said that drivers are expected to pay an average of less than $2 a gallon this year, which would mark the first gas-prices-cheap-midwest/”>time for that trend since 2004. Refineries not turning a profit at these prices may close down for maintenance, sending gas supplies down and prices up.

Joplin residents are making their way to the nearest gas station to take advantage of the low gas prices.

GasBuddy says the oil refiners are trying to rid themselves of winter-spec gasoline to make room for summer-grade gasoline.

Consumption tends to be lower during the winter months as motorists take fewer vacations.

Slower-than-expected growth in China.

“It would not surprise me if say Oklahoma City, maybe Tulsa and Joplin, there could be stations eventually that drop under a dollar”, said DeHaan.

Though gas prices in the Golden State are substantially lower than they were a year ago, the average price for gas is still $2.50 a gallon, 76 cents higher than the national average.

In Wichita, the lowest price at the pump can be found at the Sam’s Club on North Rock Road and Costco near Kellogg and Webb Road at $1.29 per gallon. A spokesperson from the Michigan Chamber of Commerce also said that the low prices were helping consumers. “Geopolitical factors coming into the equation like what OPEC will do, what Saudi Arabia will do, what will Iran do, what is the effect of the USA all of a sudden lifting their export ban which would put more crude on the market, which puts more downward pressure on oil prices and would not be good for the oilpatch in Alberta, Saskatchewan or the United States”. Millennials are the most likely to increase their driving (30%) and spending (36%). Three in four Americans (74%) say that gas prices are lower this month, the highest percentage noticing lower prices since December 2014.

Despite dramatically lower prices, US refineries have yet to make any real cuts in production, leading analysts to forecast gas prices to remain low for some time.