Gas Could Drop 10 Cents a Gallon by Mid-Summer

Gasoline prices may fall as much as 10 cents a gallon by the end of July as refiners fill their supply tanks with cheaper crude oil, oil industry analysts say.

But the nation’s gas station dealers are cautious about the price forecasts, saying refiners may choose not to pass on their lower crude costs to consumers in the form of cheaper gasoline.

The average price of unleaded gasoline at self-service stations was $1.06 a gallon in early June, according to Computer Petroleum Corp., which surveys 8,000 stations weekly.

“I think (a drop of) 10 cents, starting to show up in the end of July, is absolutely a reasonable thing,” said John Dosher, vice president of Pace Consultants Inc. in Houston.