MOBIL Oil Marianas on Tuesday reduced its fuel prices by 20 cents. Shell is expected to follow suit.
Mobil Oil Marianas in Garapan displays its new prices on Tuesday afternoon.
From $6.06 a gallon since the 30-cent price hike last week, Mobil’s regular gas price went down to $5.86 a gallon. The premium gas price went down to $6.31 a gallon from $6.51 a gallon while the diesel price went down to $6.33 a gallon from $6.53 a gallon.
On Tinian, Mobil Oil’s regular gas price was $7.80 a gallon while the diesel price was $8.25 a gallon as of 5 p.m. Tuesday. Mobil Oil Rota also had not rolled back its prices. Its regular gas price was still $7.54 a gallon and the diesel price was still $10.07 a gallon since last week’s fuel price hike.
Pete Dela Cruz, who owns Rota Merchandising, said due to the series of fuel price hikes over the last few months, he was compelled to raise the price of his equipment rental services by 15%.
He said he did not raise his rates during the three previous price hikes. But when the prices went up by 30 cents last week, he said he had to adjust his prices.
Dela Cruz said these fuel price increases affect the prices of commodities especially on Rota because the ocean freight cost is based on fuel surcharge.
The price of a can of Ligo sardines, for example, went up 30% in stores as a result of the fuel price increase.
Dela Cruz said fuel price hikes always have a “multiplier effect” on the island’s products and services.
He said the number of shipments to Rota has likewise declined after the port crane broke down about a week ago.
He said the last shipment was on Feb. 26, when MV Marianas, the former MV Luta that was sold to Sea Bridge, arrived at the Rota seaport.
However, due to the lack of a crane, the crew of MV Marianas could not off-load six containers which contained commodities that stores on Rota had been waiting for. The shipment, Dela Cruz said, was returned to Saipan.
CNN reported on Tuesday that U.S. oil prices “briefly tumbled below $100 a barrel on Monday, unwinding a significant chunk of the recent spike caused by Russia’s invasion of Ukraine.”
According to CNN, “Oil plunged more than 8%, touching a low of $99.76 a barrel. That means oil has lost almost roughly one quarter of its value since touching a near 14-year high of $130.50 a barrel on March 6. It’s the first time oil has traded below $100 since March 1.”
CNN said the sell-off “should ease fears of an energy-driven recession in the United States and, if sustained, should bring some relief to drivers dealing with record gasoline prices.”
Brent crude, the world benchmark, dropped more than 7% to $104.35 a barrel in recent trading, CNN said, adding that this “marks a sharp pullback from the recent peak of nearly $140 a barrel.”
