High gas prices due to weak economy

Even though the price of crude oil has lowered, the price of gas seems to keep rising.

Cathy Hay of Calgary-based MJ Ervin says refineries weren’t making much money converting crude oil to gas in January. This was due to the weak demand. As the demand wanes, it tends to result in lower margins.

She says in response to the weak demand, the refiners chose to cut back gas production.

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Assuming crude oil stays at the price it is now, Hay expects the gas prices to lower soon, and remain stable for the rest of the winter.

Hay says gas prices are high all across the country.

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