Oil markets are shaky — what does that mean for gas prices in Alberta?
As global markets shake due to tariff action from U.S. President Donald Trump, oil markets aren’t immune from the uncertainty, dropping steeply so far this month.
With the price of oil falling off a cliff, what can motorists in Alberta expect over the coming weeks when filling up at the pump?
Daily Hive chatted with Patrick De Haan, head of petroleum analysis at GasBuddy, regarding the price of oil and its impact on the price at the pump in Alberta.
WTI Crude was sitting at $57.50 Wednesday morning, a far cry from where it sat near the $70 mark earlier this month, and even further from the $80 a barrel mark hit in mid-January.
Oilprice.com
What does this mean for gas prices in Alberta?
De Hann said the current price of oil hasn’t been this low since the height of the pandemic back in early 2021, and if tariffs aren’t choked back and continue to roll on, oil prices may sell off a bit more in the next couple of weeks, but probably not by much.
While gas prices have been trending up for the last three weeks, that trend will now reverse, and a decrease in prices should be “rather noticeable,” according to De Hann; however, a specific price drop is too difficult to predict.
“I think down is the direction we are heading now. You know, the one development I’ll say is, you know, if we start to see a shift in the economy or the tariff discussion, then we will certainly see a corresponding change in our trajectory for oil and gasoline prices.”
De Hann added that on top of the likelihood of a price drop at the gas pump, the Alberta government is probably in a bit of an uncomfortable situation due to the province’s reliance on oil prices and its economy.
“I mean, you start wondering how long you can stomach this. And I’m sure that’s a question a lot of oil producers are seeing themselves right now is, you know, how low can it go, and how long can we last?”