Diesel prices fly high again

| 10/12/2004

With operations about to refocus on refining home heating fuel, average fuel prices, which have soared in recent weeks, once again took off.

Crude oil prices Oct. 11 reached new heights, hitting the $53.67 per barrel mark before prices made a precarious landing. Oil closed a little lower Tuesday, Oct. 12, at $52.51.

Meanwhile, the Louisiana Offshore Oil Port said last week it would close operations due to a tropical storm that threatened hurricane status.

Another aggravating factor was a reported increase in Venezuelafrom 1 percent to 16.6 percent for drilling royalties paid by foreign oil companies.

The effect on diesel
With all the previous factors added into the diesel equation – and because it’s time for refineries to change over to home heating oil – the average national retail price of diesel continued to rise from last week’s average national per-gallon price of $2.053 to the this week’s new level of $2.092, the U.S. Energy Department announced Oct. 12.

For the second consecutive week – a historic first – prices in all regions remained above the $2 mark.

The highest prices in the nation continue to be in California, where the price currently averages $2.322 per gallon, and in the West Coast region, where the price stands at $2.256.

Meanwhile, in New England, the average price is $2.212; in the Central Atlantic, the price is $2.200; on the East Coast, the price is $2.100; it’s $2.047 in the Lower Atlantic states; $2.055 in the Midwest; $2.033 in the Gulf Coast states; and $2.132 in the Rocky Mountain states.