Published: Tue, March 14, 2017
U.S. | By Jeffery Vega

Gas prices down 4.8 cents in Lima area

Gas prices down 4.8 cents in Lima area

We're starting this week with prices averaging $2.32 in Benton Harbor and St. Joseph according to Triple-A MI, which is a drop of 8¢ a gallon.

The drop left gas prices about where they were a month ago in Chattanooga, although they remain almost 23 cents per gallon higher than a year ago.

Meanwhile, drivers are paying significantly more than they did in mid-March a year ago, when USA drivers were paying an average price of less than $1.94. Some stations were advertising as at $2.09 a gallon.

Increased oil production in the U.S.is helping to put pressure on gas prices.

According to the gasoline price website GasBuddy.com, prices were $2.49 per gallon at many Meadville outlets on Monday.

Those higher prices motivated US producers to add drilling rigs and ramp up production to more than nine million barrels a day - up from 8.2 million barrels in April 2016.

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On the New York Mercantile Exchange Monday, April West Texas intermediate crude oil fell another 9 cents to $48.40 per barrel. The average fell 2 cents in Florida to $2.27 and 2 cents in Georgia to $2.18.

In metro Albany, drivers were paying $2.113 Monday, also down a half-penny in a week and seven-tenths of a cent more than February 13.

When oil prices take this kind of beating, DeHaan said, one might expect gas prices to move in lockstep. "Gas prices could drop in the short term, but the downward trend may only be temporary". So far, the average has remained steady at about $2.28.

"The annual spring rally at the pump could be less severe than expected", said Patrick DeHaan, a Gasbuddy senior petroleum analyst.

This time a year ago, the area average was $1.85.

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