Mail Tribune - Southern Oregon's gas prices surge early - March 6, 2007

Mail Tribune (Medford, OR — Wayback)

2007-03-06

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http://www.omniture.com --> Sections Home Page Local News AP News Blogs Archives Business Classifieds Event Calendar Forums Life Opinion Obituaries Multimedia Photo Gallery Readers Photo Gallery Sports Tempo Weather Road Cams Special Coverage 2006 Britt Festivals --> Shop Our Valley AutoFinder HomeFinder JobFinder Search Our Valley Special Sections Distinctly Northwest Readers' Choice Homelife Magazine Joy Magazine Oregon Golf Info Oregon Wine Info Other Publications Local Links Ashland News eSouthernOregon Newspapers In Education Personals Moving Here Movie Listings TV Listings Volunteer Customer Service Advertise With Us Media Kit Place Classified Ad Contact Us FAQ's Home Delivery Site Map  --> Email Story to a Friend March 6, 2007 Southern Oregon's gas prices surge early Local prices average $2.617 a gallon; they could hit $3 before the end of the month Staff and wire reports It feels like spring out there. The sun is shining, the snow is melting and gas prices are soaring. Gas prices throughout Southern Oregon have risen nearly 20 cents in the past month and are expected to climb to $3 a gallon before March is over. "The best advice at this point is that people need to be aware that prices are going up," said Elliott Eki, a spokesman for AAA in Oregon and Idaho. "And they need to start conserving. The vacation season is coming up, and people have to watch out or they won't be able to go farther than Beaverton for their time off." Springtime — March in particular — is a transitional period for fuel production, Eki said. Refineries and gas stations are making the switch from the winter grade of fuel to summer grade, which is cleaner to burn but more expensive to produce, he said. Eki said the price increase is also driven by an increase in demand for fuel during spring and summer. Advertisement Last year, gas prices began surging in April, topping $3 a gallon by May 1. They stayed above $3 through September. This year, the rise in price has come earlier. The average cost of gas is currently $2.617 in the region. Southern Oregon often has the highest gas prices on the Oregon Interstate 5 corridor, but as of Monday, the Eugene-Springfield area was slightly more expensive. Oregon ranked fifth Monday in the most expensive gas prices in the nation. Topping the list was California at an average $2.92. Hawaii was second at $2.85, followed by New York at $2.63 and Nevada at $2.62. Oregon's gas mainly comes from the north slopes of Alaska, instead of through the Gulf of Mexico, which is where most of the country gets its gas. Refineries then ship the Alaskan fuel on a pipeline as far down as Eugene. Tanker trucks pick it up in Eugene and transport it down to Southern Oregon, thereby increasing prices locally. One month ago, the national average was $2.16. The lower prices this winter were the result of oil companies making cuts to clear out their winter stock. Refineries need to make room for the new summer-grade blend, which is more expensive to make. Also, the price of crude oil has jumped to roughly $62 a barrel after remaining low for most of the winter. And there was a major refinery fire in north Texas, which serves several state and is now offline and causes a domino effect with replacement gas being shipped to those states. Would you like to respond to this story? If so Click Here to visit our forums. Advertisement Copyright © 1997-2007 Mail Tribune, Inc. All rights reserved. Privacy Policy | Terms & Conditions | Website Feedback online casinos news Home Security Systems Online Casino Reviews Trunks, Footlocker Fundraisers UK Homeowner Loans Casinos Canada Cord Blood Banking Discount Hotel Reservations Texas Electric Choice Compare Electric rates in Texas Windermere Van Vleet Men's Clothing Debt Help New Hampshire Primary