According to the U.S. Energy Information Administration's just-released "Short-Term Energy and Summer Fuels Outlook:"
Continued steady world oil demand growth, combined with only modest increases in world spare oil production capacity and the continuing risks of geopolitical instability, are expected to keep crude oil prices high through 2006. The price of West Texas Intermediate (WTI) crude oil is projected to average $65 per barrel in 2006 and $61 in 2007 (Figure 1. West Texas Intermediate Crude Oil Price). Retail regular gasoline prices are projected to average $2.50 per gallon in 2006 and $2.40 in 2007 (Figure 2. Gasoline and Crude Oil Prices). Summer (April 1 to September 30) regular gasoline pump prices are expected to average $2.62 per gallon, 25 cents higher than last year's average of $2.37 per gallon. Retail diesel prices are also expected to average $2.62 per gallon this summer.
I also love this:
With another active hurricane season possible this year, news of any developing hurricanes and tropical storms with a potential to cause significant new outages could add to volatility in near-term prices in the latter part of the summer. The projections in this Outlook do not reflect a scenario with significant new production or refinery outages.
Fill 'er up!