For the month of January, crude oil futures fell to just $43.67, the lowest per barrel price since January 2005. Moreover, many industry experts are predicting that crude oil could fall below $25 per barrel early next year.
To put $25 per barrel into perspective, crude oil hit a high of $147.27 per barrel in July, resulting in a per gallon national average record of $4.11 per gallon. At the current per barrel rate of about $44, national prices are hovering around $1.78 per gallon, meaning a drop to $25 or less could result in gas prices tumbling below a dollar per gallon.
I, just a half hour ago, paid $1.90 for premium 93 octane. I was at about a quarter tank, and filling it up (~12-13 gal) was only like $24. That’s a far cry from the $50+ I was paying during the summer for the same amount of fuel.
I don’t think I’d advise one to go buy a Yukon, Escalade, or a Hummer because of this (I wouldn’t anyway because huge SUVs are for dicks), but this is good news indeed.