Phoenix, Ariz., June 4, 2009.  Across the state and nation, the price of gasoline has continued to rise for the sixth consecutive week. Arizona motorists are paying an average price of $2.428 per gallon, an increase of more than 12 cents from last week. Tucson drivers continue to pay the least for fuel in the state with an average of $2.304 per gallon, while drivers in Flagstaff pay the most to fill their tanks at $2.543 per gallon. The nationwide average also increased more than 12 pennies this week to $2.572 per gallon.

This week, the price of crude oil traded at a seven-month high before tumbling to the mid-$60 per barrel range in response to an unexpected increase of U.S. crude supplies as reported by the Department of Energy. In addition, this week’s government report revealed a 1.2 percent decline in gasoline demand compared to this time last year. However, the direction of commodity’s price has since reversed and is currently trading in the high-$60 per barrel range. This recent recovery can in part be attributed to the U.S. dollar, which lacks strength compared to other currencies.    

“Given crude oil’s movement this week, it is still too soon to tell whether the commodity has crested,” said Linda Gorman, public affairs director for AAA Arizona. “Healthy crude supplies and bleak demand are working in favor of stabilization. However, in order for this to occur and translate into a leveling off of prices at the pump, the price of crude oil must stabilize and retailers must recoup their losses from surging wholesale fuel costs.”   

This week, South Carolina captured the nation’s lowest fuel price at $2.375. Michigan motorists are paying the most for fuel in the country with an average of $2.840 per gallon.

Motorists can visit www.AAAAZ.com/news/fuelnews.htm for fuel price information and gas saving tips or go to www.AAA.com/fuelfinder to locate the station with the cheapest gas in their neighborhood. They can also visit AAA’s Fuel Cost Calculator at www.fuelcostcalculator.com, which can help drivers plan out their fuel costs so they can budget their travel expenses in advance.

*The BTU-adjusted price of E-85 is the nationwide average price of E-85 adjusted to reflect the lower energy content as expressed in British Thermal Units - and hence miles per gallon - available in a gallon of E-85 as compared to the same volume of conventional gasoline. The BTU-adjusted price calculated by OPIS and AAA is not an actual retail average price paid by consumers. It is calculated and displayed as part of AAA's Fuel Gauge Report because according to the Energy Information Administration E-85 delivers approximately 25 percent fewer BTUs by volume than conventional gasoline. Because "flexible fuel" vehicles can operate on conventional fuel and E-85, the BTU-adjusted price of E-85 is essential to understanding the cost implications of each fuel choice for consumers.

AAA Arizona’s Weekly Fuel Gauge includes data from gasoline stations in every Arizona community. However, only major metropolitan areas are shown in the table above.  Local prices in some communities might be higher or lower than the averages shown here.

NOTE: AAA Fuel Gauge data may be used on a daily basis by news media Web sites, but should include attribution to AAA.

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