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Gas Prices Might Increase After OPEC’s Decision

Gas Prices Might Increase After OPEC’s Decision Gas Prices Might Increase After OPEC’s Decision

By Bill Vander Weele

Drivers might experience another increase in gas prices after OPEC announced its plans to cut oil production last week.

OPEC announced on Wednesday, Oct. 5, that it will decrease oil production by 2 million barrels a day By Thursday, Oct. 6, AAA officials said the national average for gas prices was $3.86 per gallon or about 10 cents more than a month ago.

U.S. Sen. Steve Daines, R-Mont, made the following statement about OPEC's decision: “President Biden shut down Made in America energy and begged OPEC for more oil. Now, American families will face even more consequences,” Daines said. “Mr. President — when will you learn we need to unleash American energy?”

Patrick De Haan, Gas Buddy’s head of petroleum analysis, said there have been rumors of OPEC making the decision for the past couple of weeks and prices have slowly been increasing at the pump.

National average for gas was $3.87 last week compared to $3.78 last month and a June record of $5.02 per gallon. As of Monday Oct. 10, prices averaged $4.06 a gallon in Montana. The lowest price in the state was $3.68/g while the highest was $5.19/g.

Daines also was disappointed with Biden’s decision to ease Venezuela’s sanctions for oil imports.

“Biden has learned nothing. We need to unleash American energy development — not rely on dictators in adversarial countries like Venezuela for oil,” Daines said.

In March 2022, Daines introduced a bill to prohibit the United States from importing Iranian and Venezuelan crude oil, petroleum, petroleum products, and liquefied natural gas.

“It was certainly a surprised move,” De Haan said of Biden’s decision regarding Venezuela during an interview with CNN. “It’s certainly one of desperation as oil prices are trending higher.”

De Haan feels oil companies need Biden to provide more clarity before they are willing to commit to huge investments.

“It opens things up for domestic oil production if the president gets on the bus and supports it,' De Haan said.

Gas prices were in the range of $3.90 a gallon in the area last Week.

(Photo by Bill Vander Weele)

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