14 Jul 2009

Second round of petrol price cuts

7:58 pm on 14 July 2009

Domestic fuel prices have fallen for the second time in just over a week.

Petrol companies say a drop in international prices has led to more price drops at New Zealand pumps, with Shell, BP, Mobil, Gull and Caltex all dropping their prices on Tuesday.

Low octane petrol has fallen by 5 cents per litre to $158.9 and diesel has fallen by 3 cents per litre to $104.0.

Sharon Buckland, a spokesperson for Chevron which markets Caltex, says prices overseas are the reason.

BP managing director Peter Griffiths says the exchange rate is also playing a part.

Crude oil prices have fallen to the lowest level in almost two months.

US crude oil for August delivery fell 20 cents to settle at $US59.69 a barrel on Monday, after earlier falling to a low of $US58.32, the lowest since 18 May. London Brent rose 17 cents to $60.69 a barrel.

The Automobile Association's policy analyst Mark Stockdale welcomed the price drops, but says there is still room for diesel to drop further.