Denver gas prices continue to increase, could peak prices come soon? – The Denver Post

Denver gas prices rose another 3.7 cents per gallon in the past week, now averaging $3.49 per gallon across the city on Monday, according to a GasBuddy survey.

Gas prices in Denver are $1.07 per gallon higher than at this time a year ago, rising 24 cents the last month. Denver continues to outpace the national average, which has only risen 1.3 cents per gallon in the last seven days.

“Gas prices across the country have been a bit sideways in the last week with a mixed bag of decreases and increases,” said Patrick De Haan, head of petroleum analysis for GasBuddy in a news release, “But overall, the national average hasn’t seen much meaningful direction as oil prices remain under their early-July levels thus far thanks to OPEC coming to an agreement on production over the weekend.”

The most expensive gas station in the metro is the Conoco on Speer Boulevard, priced at $3.88 per gallon, while the cheapest is Costco on South Havana Street in Aurora.

“OPEC’s plan is to raise oil production by 400,000 (barrels per day) each month until 2022, at which time OPEC’s oil production will be back at pre-Covid levels,” De Haan said. “It’s a positive development in light of U.S. gasoline demand which last week rose nearly 2%, which should act as a loose ceiling on the price of oil, and could mean we’re even closer to seeing a peak in the national average if we haven’t already.”

According to De Haan, oil refinery stocks of gas have fallen around 30% since April in Petroleum Administration Defense District 4, which covers the Rocky Mountain region. That’s caused a rise in the wholesale price causing the prices to be higher in Denver and Colorado. De Haan theorizes that there may be higher demand in the area due to it being a tourist destination. Inventories are lower at this point in the summer than at any point in the past seven years.

Historical average gasoline prices in Denver going back 10 years:

  • July 19, 2020: $2.42/g (U.S. Average: $2.18/g)
  • July 19, 2019: $2.55/g (U.S. Average: $2.77/g)
  • July 19, 2018: $2.71/g (U.S. Average: $2.85/g)
  • July 19, 2017: $2.19/g (U.S. Average: $2.27/g)
  • July 19, 2016: $2.13/g (U.S. Average: $2.19/g)
  • July 19, 2015: $2.73/g (U.S. Average: $2.76/g)
  • July 19, 2014: $3.57/g (U.S. Average: $3.58/g)
  • July 19, 2013: $3.51/g (U.S. Average: $3.67/g)
  • July 19, 2012: $3.51/g (U.S. Average: $3.43/g)
  • July 19, 2011: $3.45/g (U.S. Average: $3.67/g)

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