With traditional market forces pushing on gas prices and geopolitical concerns also in play, it’s tough to know right now
how high gas prices might go in Kansas.
“The reimposed sanctions on Iran and summer blend and of course, demand, we’re not seeing a dip in that yet,” said Jennifer Haugh with AAA of Kansas. “It’s just sort of everything colliding at once and it’s pushing those prices upward.”
Three dollar gas is definitely on the table, if things keep going the way they are.
“Yesterday, actually in Minneapolis, Kansas, they did hit $3.00,” said Haugh. “Today, it’s gone back down. The highest in Kansas right now is in Kensington. It’s at $2.94.”
The state’s average is at $2.64.
“We’re going to have a lot of outside influence other than just demand and what kind of inventories we have,” said Haugh. “We have more inventory than last year’s levels, but that’s still coming down and I think demand is certainly not going to go down for this time of year. It’s going to be an interesting summer, to say the least.”
This also doesn’t put into play any supply issues that could come from the late summer hurricane season, depending on how it impacts Gulf Coast drilling.