Drivers rejoice as prices at pump drop dramatically

For the first time in weeks, Connie Nesbitt says, she plans to enjoy her weekend with the movies or a high school football game.

She bought gas Friday afternoon for $2.99 a gallon at Greg's Gas Plus on North Augusta's Georgia Avenue. The cheaper fuel frees up cash for other things, she said.

"It's a blessing," said the Augusta mother of two. "It's been pretty rough. No entertainment. I've just pretty much been going from home to church or to work."

On Friday, the average price for regular unleaded gasoline in the Augusta-Aiken area was $3.38 a gallon. On Thursday, the average price was $3.52, said Greg Laskoski, a spokesman for AAA Auto Club South. The national average has also dropped 5 cents a gallon, he said.

"That's an incredible drop in a single day," Mr. Laskoski said. "Usually when we look at gasoline price changes from one day to the next, it's usually measured only in tenths of a cent."

Many who filled up Friday said their glee over the cheaper gas would be short-lived, but the price cuts might not be as temporary as most would think. They likely will stay steady for at least another month, said Judy Reville, the division manager for the Augusta branch of AAA Auto Club South. The lower prices are partly caused by the sell-off of oil stock on Wall Street, Ms. Reville said.

"We expect it to drop faster and lower," she said. "The prices are volatile, but we're predicting it will continue to be below $3 until around Thanksgiving."

Gas prices soared above $4 after hurricanes Gustav and Ike hit, causing power outages at 14 oil refineries in the Houston area. All but one have been restored, Ms. Reville said.

The working refineries have increased production, which has brought the oil supply back to normal, said John Butler, the president of Koger-Walters Oil Co., which supplies gas to 21 BP gas stations in the area.

"Our allocations are just about up to normal," he said. "Tanks that are in the ground are beginning to be replenished more and more frequently, which helps us and the consumer."

The drop in prices also is a result of the falling crude oil prices, he said. On Friday, crude oil was priced at $78.25 a barrel, down $8.30 from the day before, he said.

Gasoline prices are also dropping because fear has subsided.

"People are buying less, so that would definitely drive the price of gasoline down," Mr. Butler added.

Customers were buying gas Friday afternoon like they hadn't in months, said Len Perella, who waited for at least 10 minutes to fill up his sedan at Greg's Gas Plus.

"I'm glad gas is cheaper, but it's because everybody had cut back so they were producing more than people were buying," he said. "Now that gas is cheaper, everybody's going to buy more, oil production will cut back and we'll be paying more again."

Ms. Nesbitt said she would enjoy the cheaper prices for as long as they last.

"I'm just going to take this break," she said. "I'm hoping things will go back to normal, and I can get caught up on some bills."

Reach Stephanie Toone and La Tina Emerson at at (706) 724-0851.