Cochranites will have a little bit more loose change in their jean pockets just in time for Stampede, as gas prices dropped by 2 or 3 cents a litre overnight.
The cost of gas in town was $1.09 yesterday, July 7, this morning it can be found for $97.9. The decrease is across the board in Southern Alberta.
Dan McTeague, GasBuddy Senior Petroleum Analyst, Canada, thinks prices are stable, but we could see another drop at the pump.
"The trend is definitely downwards," he says. "We might actually still see over the next several days another 2 or 3 cent a litre decrease."
McTeague explains the decrease in cost can be attributed to a recent a drop in wholesale gasoline pricing.
"Wholesale prices over the past couple of days have dropped 4 or 5 cents a litre. So it's a reflection of that drop in prices. If I'm a gas station owner in Southern Alberta, and I'm buying gasoline, chances are I'm probably picking it up between 86 and 90 cents a litre with taxes in. The rest is the retail margin. "
Wholesale prices have been dropping since the end of June, but it still may be wise to fill your tank this week, as prices can change quickly.
"There are so many factors and variables can come into play, geopolitical events, the value of the Canadian Dollar, and any type of disruption at a refinery. Those are important factors that can drive prices dramatically in a different direction."
Gasoline prices now are about 5 or 6 cents a litre less than this time last year, when a number of US refinery disruptions affected our fuel prices. Despite tax increases on fuel a year and a half ago in Alberta, we're still competing for some of the lowest prices for this time of year, dating back to 2010.