A shortage of diesel fuel in Colorado is one of the key contributors to record-high gasoline prices that could remain in place in the state until at least Labor Day, experts say.
Colorado reached an all-time average high of $3.07F/aj for regular unleaded Friday, according to AAA. The Colorado price beats a previous record of $3.07D/aj set Sept. 7, 2005, just after Hurricane Katrina.
The national average was $3.03B/aj.
Low supplies of diesel have prompted refineries to refine more of their crude oil into diesel, said Steve Douglas, general manager of supply and marketing at Suncor Energy’s Commerce City refinery.
That means less gasoline is being produced, and that can contribute to an increase in prices. But Douglas said “there’s certainly not a regular gas shortage.”
In addition, terrorist threats, oil pipeline leaks and the uncertainty of the upcoming hurricane season contribute to higher gasoline prices.
AAA’s Alexa Gromko said fears are running high that a major storm like Hurricane Katrina last year will tighten U.S. oil supplies. The hurricane season may affect prices beyond Labor Day, she said.
Events such as last week’s terrorist threat in the United Kingdom, an oil pipeline leak in Alaska and continued Mideast conflict are contributing to surging crude-oil prices, said AAA.
“On an international scale, those are things that historically play a factor on how prices go up and down,” Gromko said.
Vail recorded the highest gas price in the state Friday, with an average price of $3.35 for unleaded regular. In Denver, prices were $3.01 as of Friday morning.
Staff writer Kimberly S. Johnson can be reached at 303-820-1088 or kjohnson@denverpost.com.
