EMERYVILLE (KRON) — Road warriors can expect to save a little money at the pump this summer as gasoline prices are likely to keep steady, according to AAA Northern California.
AAA cites new information from a gas price survey which shows the state pump price of unleaded regular is $2.80 per gallon, which is $0.03 higher than a month ago.
“Historically gasoline demand increases leading into the summer driving season, and this year so far is no different,” said Cynthia Harris, AAA Northern California spokesperson. “However, lower gas prices are contributing to drivers taking to the roads at record levels and the 2016 summer driving season is expected to rival 2007, when gasoline demand hit an all-time high.”
The least expensive fuel can be found in Marysville, where the average price for a gallon of regular is $2.53, according to AAA. The highest price is in San Francisco where the average price is $2.96 a gallon, up $0.11 from last month’s AAA gas survey.
Here’s more from the AAA report:
ExxonMobil’s Torrance California Refinery’s delayed gasoline production is due to unexpected recent operational delays, and gasoline production is not expected to be at full capacity until later in the month. The return to full capacity of this refinery is expected to help offset some of the growing demand in the state and region.
The possibility of disrupted supply from the Canadian Oil Sands influenced the global price of crude oil over the past week; however, expectations of reduced supply were largely overshadowed by news of increased production out of Iran and other OPEC and non-OPEC nations. Iran reportedly reached pre-sanction production levels, and as production countries continue to fight for market share, the global oil market is likely to remain oversupplied.
Global oil prices rallied over the weekend due to news that the longtime Saudi Arabian oil minister would be replaced. This sentiment was short-lived as reports quickly surfaced that the world’s largest exporter would maintain its current course and attempt to defend its market share by sustaining production levels. Oversupply is likely to continue to characterize the global oil market and attention will remain focused on output from non-OPEC countries and any other factors that may help bring supply and demand into balance.
At the close of Friday’s formal trading session on the NYMEX, WTI was up $0.34 and settled at $44.66 per barrel.