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Hibbing cheapest as summer gas prices falling fast

And the cheapest gas prices in Minnesota are in … Hibbing?

A heated gas war on parts of the Iron Range is a prime example of how this summer’s gas prices have bucked the usual seasonal upward trend and instead moved downward.

In Hibbing, where gas prices have been below the state average for more than a week, prices hit $3.23 per gallon at many stations Monday, vying with a couple of northern Twin Cities stations for the lowest in the state.

The average prices for a gallon of regular unleaded gasoline in Minnesota dropped to $3.40.9 on average, according to That’s down from $3.50 a week ago, $3.59 a month ago and down a quarter per gallon from $3.65 per gallon, on this day last year.

Nationally, gas prices hit $3.56 per gallon on average, down from $3.60 a week ago, $3.67 a month ago and $3.67 one year ago.

Despite unrest in Iraq, Syria, Ukraine and elsewhere, crude oil prices continued to be relatedly stable and low, leaving gas prices hovering or even dropping.

“As expected, motorists continue to see average gasoline prices falling across much of the United States,” Patrick DeHaan, senior petroleum analyst, said Monday in his weekly gas report.

In some cases, apparently spurred by weak demand, retail gas prices were falling faster than wholesale prices, DeHaan noted.

Some Duluth stations were at $3.51 Monday but most were at $3.53, well above the state average, a sign that demand remains high here due to the influx of summer travelers.

Meanwhile AAA analysts said recently the retail price at the pump “continued to tick lower following the Independence Day holiday due primarily to lower crude oil costs as the situation stabilizes in Iraq, The national average may continue to slide or remain flat, barring any geopolitical concerns, major hurricane or refinery disruptions.” gets reports from 2,856 gas outlets across Minnesota each day.