Oil surges may be reflected at the pump
Cristina Aguilar < br > of Leader | Hagadone News Network | UPDATED 21 years, 2 months AGO
Oil surges may be reflected at the pump
Gas prices are going up again after crude oil surged above $54 a barrel last week.
A possible strike by Nigerian oil workers looms and petroleum output in the Gulf of Mexico continues to suffer after Hurricane Ivan whipped through the region.
As of press time the average cost of gas nationwide was at $2.15 a gallon.
Co-founder Jason Toews, for GasBuddy Organization, Inc., a national organization that gauges gas prices in every state says, "with crude oil being so high, of course, it impacts prices; crude oil is 45 percent of gas price increases."
Toews predicts gas in Montana could go as much as 10 to 20 cents per gallon higher this winter on average and attributes part of the problem to OPEC countries producing at maximum capacity - except for Saudi Arabia - in addition to current global events.
"There are really a number of factors that could impact prices not just what is going on around the world and OPEC, but if the winter is harsh, people will be paying more for gas, either at home or driving their cars," said Toews.
Toews said worldwide demand is also up 20 percent with China, the most populated country in the world, adding to the demand for gas.
"The United States is the highest consumer of gas, but larger countries like China are starting to impact the demand globally," he said.
The GasBuddy Organization produces websites for every state including British Columbia. The Montana website is
www.montanagasprices.com
The site includes tips on how to save gas on your vehicle and offers updated gas prices in every town including Ronan and Polson. Prices are updated every 72 hours.
"Anywhere there is a gas pump we try to include the town and price of gas at the pump," said Toews. "We also invite people to visit the site and sign up as members, which is free, and our members help us to gather gas price information."
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