Phoenix, Ariz., August 13, 2009. Across the state, pump prices continue to increase for the third consecutive week. However, for the first time in 12 days, the statewide average remained unmoved overnight, providing premature hope that pump price stabilization may be on the horizon. Statewide, motorists are currently paying an average of $2.639 for a gallon of regular unleaded gasoline, an increase of more than seven cents since last week – the largest single week price increase since mid-June. Today’s nationwide average is $2.647 per gallon, an increase of nearly four cents from last week.

This week, crude oil maintained a position in the low $70 per barrel range, supported in large part by the market’s reaction to moderately positive economic news. Given the current pricing trend coupled with other market factors, oil and fuel prices could stabilize in the short-term.

“There are several factors working in favor of a stabilizing pump price, including ample supplies, weak demand, the fact that we’re nearing the end of the summer driving season and word that OPEC is unlikely to reduce production levels,” said Linda Gorman, public affairs director for AAA Arizona. “In the current $70 per barrel oil price environment, it’s important to note that while pump prices could stabilize in the short-term, they are unlikely to drop or move substantially in either direction anytime soon.”

In Arizona, Tucson drivers continue to pay the least for fuel in the state with an average of $2.461 per gallon, while Flagstaff motorists continue to pay the most to fill their tanks with an average fuel price of  $2.750 per gallon. Nationwide, South Carolina motorists continue to pay the nation’s lowest fuel price with an average of $2.428, while California motorists continue to pay the most for fuel in the lower 48 states with an average of $3.060 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.