AAA Mid-Atlantic: Higher Crude Prices and Philadelphia Refinery Shut-Down
Sends Gas Prices Higher

Despite the hike, local gas prices remain at least 10 cents lower than last year

The Week

Local drivers are paying more at the pump just ahead of the Independence Day holiday as a result of increasing crude oil prices and the closure announcement of the Philadelphia Energy Solutions (PES) refinery in Philadelphia following a massive fire one week ago. Both factors have contributed to local prices jumping as much as eight cents in the last week. While AAA anticipates further gas price increases, it is unclear at this time just how much that could be.

Today’s national gas price average is $2.70, which is up four cents in the last week, down 12 cents in the last month, and is 15 cents less than last year’s price.

CURRENT AND PAST GAS PRICE AVERAGES
Regular Unleaded Gasoline (*indicates record high)

At the close of NYMEX trading Friday, West Texas Intermediate (WTI) crude oil settled at $58.47 per barrel, $1.04 higher than last Friday’s close. In the past two weeks, oil prices have increased by 11 percent. Oil increased by more than two percent Wednesday following the Energy Information Administration’s (EIA) latest report, showing a larger-than-expected drop in crude inventories.  Tensions in the Middle East as well as the U.S. and China trade deal waiting game are also keeping prices in question.

The Weekend

“The closure of the PES refinery, the largest on the East Coast, will likely have a temporary impact on gas prices in and around our region, though it is too early to know how much prices could increase or for how long, especially during the peak summer driving season,” said Jana L. Tidwell, manager of Public and Government Affairs at AAA Mid-Atlantic. “Motorists in the region will likely continue to see modest increases in pump prices – especially leading up to what is expected to be a high-demand travel period for the Fourth of July.”

The Week Ahead

More Americans than ever recorded by AAA, nearly 49 million, are making plans to honor the red, white and blue with an Independence Day getaway this year, 4.1 percent or 2 million more than last year.  Of those traveling, 41.4 million or 85 percent will go by car, representing a 4.3 percent over last year.  Despite various factors pushing pump prices slightly higher, motorists will likely enjoy lower gas prices than Memorial Day and Independence Day 2018.

AAA has a variety of resources to help motorists save on fuel:

• Shell Fuel Rewards Program for AAA Members: (https://www.AAA.com/Shell) gives AAA members nationwide a discount on gasoline at Shell stations when they join the Fuel Rewards® program.
• Fuel Price Finder (https://www.AAA.com/fuelfinder) locates the lowest fuel price in your area. 
• AAA Gas Cost Calculator (https://gasprices.aaa.com/aaa-gas-cost-calculator/) helps budget travel expenses. 
• TripTik Mobile (https://www.aaa.com/mobile) plots fuel prices along your travel route. 
• AAA's Member Rewards Visa® Credit Card (https://www.AAA.com/financial/AAAvisa.htm) accumulates double points on fuel purchases.             

AAA is the most comprehensive resource for gas prices.  Unlike the Lundberg Survey of 7,000 gas stations, AAA reports reflect actual prices from credit card transactions at  ###

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AAA provides automotive, travel and insurance services to 57 million members nationwide and more than three million members in Pennsylvania.  AAA advocates for the safety and mobility of its members and has been committed to outstanding road service for more than 100 years.  The not-for-profit, fully tax-paying member organization works on behalf of motorists, who can now map a route, find local gas prices, discover discounts, book a hotel and track their roadside assistance service with the AAA Mobile app for iPhone, iPad and Android.  For more information, visit www.AAA.com.