AAA Reports Gas Prices Affected by Record-High Crude Oil Costs

MINNEAPOLIS, Aug. 17, 2004 -- After several weeks of gradual declines, the national average price of self-serve regular gasoline increased over the weekend to $1.862 per gallon, approximately the same price it was one week ago. Crude oil also saw increased prices, trading this morning near $47 per barrel, the highest level on record.

"Looking at world current events, the good news is Saudi Arabia last week announced is would be able to boost its oil output by an additional 1.3 million barrels per day and Venezuela last Sunday voted to keep President Hugo Chavez in office, a positive move for uninterrupted oil and gasoline production in that country," said Dawn Duffy, AAA spokesperson. "The bad news is Russia today announced it will not back away from its decision to seize one of Yukos' key oil-producing assets to help pay a $3.4 billion tax bill, a situation that might disrupt the company's oil shipments."

Reports for August 17, 2004, reflect the following average prices per gallon for self-serve, regular unleaded gas:

                           Current     Month Ago     Year Ago
   National                 $1.86        $1.92        $1.59
   Minnesota                $1.82        $1.85        $1.60
   Duluth                   $1.83        $1.86        $1.59
   Minneapolis/St. Paul     $1.81        $1.86        $1.62
   Rochester                $1.85        $1.84        $1.57
   St. Cloud                $1.79        $1.87        $1.60

AAA's Fuel Gauge Report is based upon data from the Oil Price Information Service, the nation's most comprehensive source of petroleum pricing statistics, and can be found at http://www.fuelgaugereport.com/ .

AAA offers automotive, travel, insurance and financial services to more than 45 million members in the United States and Canada. AAA Minnesota/Iowa is part of The Auto Club Group, with 4.1 million members in eight Midwest states. AAA Minneapolis serves more than 172,000 members in Hennepin County.