80 cents gas coming before year end: Analysts see no relief from price surge before spring Final Edition

"I do think crude oil prices are probably going to move higher, probably through the first quarter of the year, and that will tend to bump up gasoline prices at the pump," says Patricia Mohr, petroleum commodities analyst and vice-president of Scotia Economics. He points out that only abou...

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Bibliographic Details
Published inThe Ottawa citizen (1986)
Main Author Louise Surette and Mike Trickey, with files from Zev Singer and Joanne Laucius
Format Newspaper Article
LanguageEnglish
Published Ottawa, Ont Postmedia Network Inc 20.11.1999
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TORONTO
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Summary:"I do think crude oil prices are probably going to move higher, probably through the first quarter of the year, and that will tend to bump up gasoline prices at the pump," says Patricia Mohr, petroleum commodities analyst and vice-president of Scotia Economics. He points out that only about 15 to 20 cents of the cost of a litre of gasoline can be attributed to the cost of crude oil, with much of the rest coming from taxes. If gas prices climb to 80 cents a litres, that can only be explained if the price of crude oil doubles. "The question," according to Gordon Jaremko, editor of Oilweek magazine, based in Calgary, "is why do prices move up so quickly at the retail level when there is an increase in crude oil price and then seem to change so much slower when the crude oil price goes down?"
ISSN:0839-3222