The Week
Although the Gulf of Mexico is more than one thousand miles from the Delaware Valley, Hurricane Laura’s landfall there early Thursday, coupled with an increase in demand for gasoline, has made an impact on local gas prices. In the last week, the average price for a gallon of regular unleaded gasoline has jumped seven cents in the Philadelphia 5 county region, eight cents in South Jersey and seven cents in Delaware. As damage is assessed in the Gulf, AAA will have a better idea of how long motorists in impacted areas and beyond will see more expensive prices.

Today’s national gas price average is $2.23, up five in the last week, up five cents in the last month, and down 35 cents from this time last year.

CURRENT AND PAST GAS PRICE AVERAGES
Regular Unleaded Gasoline (*indicates record high) 

At the close of NYMEX trading Friday, West Texas Intermediate (WTI) crude oil settled at $42.97 per barrel, 63 cents higher than last Friday’s close. Domestic crude prices decreased Thursday despite the Energy Information Administration’s (EIA) weekly report revealing that total domestic crude inventories decreased last week. However, total inventories are 80 million barrels higher than where they were during this time in August 2019. The higher level will help to stabilize crude prices, as 84% of crude production takes place in the Gulf of Mexico. 

The Weekend
“Earlier this week, pump prices jumped in anticipation of the disruption to operations at refineries and gasoline distribution along Hurricane Laura’s path,” says Jana L. Tidwell, manager of Public and Government Affairs for AAA Mid-Atlantic. “However, ample gasoline stock levels should contain any significant pump price increases to impacted areas while the rest of the country sees minimal change.”

The Week Ahead
Ahead of Hurricane Laura’s landfall, hundreds of production platforms and almost a dozen oil rigs were shuttered. Gas and oil prices will be dependent on how quickly U.S. refining in the Gulf Coast is restored. Early estimates are positive that supply will remain adequate as refineries and oil rigs resume full operation.

AAA has a variety of resources to help motorists save on fuel:

• Shell Fuel Rewards Program for AAA Members: (https://www.AAA.com/Shell) gives AAA members nationwide a discount on gasoline at Shell stations when they join the Fuel Rewards® program.
• Fuel Price Finder (https://www.AAA.com/fuelfinder) locates the lowest fuel price in your area.
• AAA Gas Cost Calculator (https://gasprices.aaa.com/aaa-gas-cost-calculator/) helps budget travel expenses.
• TripTik Mobile (https://www.aaa.com/mobile) plots fuel prices along your travel route.
• AAA's Member Rewards Visa® Credit Card (https://www.AAA.com/financial/AAAvisa.htm) accumulates double points on fuel purchases.

AAA is the most comprehensive resource for gas prices. Unlike the Lundberg Survey of 7,000 gas stations, AAA reports reflect actual prices from credit card transactions at more than 100,000 gas stations in the U.S.

Next Weekend Gas Watch: Friday, September 4, 2020

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AAA provides automotive, travel and insurance services to 60 million members nationwide and more than 3.2 million members in Pennsylvania.  AAA advocates for the safety and mobility of its members and has been committed to outstanding road service for more than 100 years.  The not-for-profit, fully tax-paying member organization works on behalf of motorists, who can now map a route, find local gas prices, discover discounts, book a hotel and track their roadside assistance service with the AAA Mobile appss for iPhone, iPad and Android.  For more information, visit www.AAA.com.