With oil prices on Wall Street going down to $30 a barrel you would think we would be returning to dollar a gallon gas...instead it went up again last week and now averages at $1.95 a gallon.  Why?  Normally, the most expensive oil in the U.S. is West Texas Crude, and the cheapest is oil imported from other countries.  That cheaper gas from other countries is imported directly to the refineries and is used to make gasoline.  The oil from Texas, which is a higher grade oil is used for other products.  But, with today's economy, the price of imported oil is running $7 to $10 a barrel higher than west Texas oil.  And, that does not include the price of shipping....West Texas now has a huge reserve and they have slowed down pumping.  There is no pipeline from West Texas oil fields to the refineries because it always cost more than foreign oil..but, not the case now....so our gasoline prices are based on foreign oil.  To get a further picutre of all this and why your gas prices are going up....read this in depth AP story...
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