DOE Boosts 2010 Diesel-Price Forecast by 3¢, to $2.96 a Gallon
The Department of Energy boosted its projected 2010 diesel-price forecast by 3 cents to $2.96 a gallon, and lifted its forecast for 2011 by 4 cents, to $3.14.
Those levels are up from the $2.46 per-gallon average last year, DOE said in its monthly short-term energy outlook, released Wednesday.
Diesel, which hit $3 per gallon last week for the first time since May, has jumped 11.5 cents in DOE’s two most recent weekly surveys. (Click here for previous story.)
Gasoline will average $2.74 a gallon this year and $2.92 next year, both up 2 cents from last month’s outlook. Gas averaged $2.35 in 2009.
Refining margins, which have been at their lowest levels since 2003, are projected to average about $2 per barrel higher next year because of growing global product demand and shutdowns of excess global refining capacity, the outlook said.
Crude oil will average $79 in the fourth quarter, up $2 from last month’s forecast. Oil will average $80 a barrel this winter, about $2.50 higher than last year, DOE said, adding that the price will rise to $85 by the end of next year, $1 higher than last month’s forecast.
Crude futures crept past $80 in the past two weeks and closed Tuesday at $81.67 a barrel on the New York Mercantile Exchange, Bloomberg reported.
