One day after a petroleum industry expert said oil prices will likely bottom out at $40 to $50 per barrel next year, Gulf Oil and Cumberland Farms CEO Joe Petrowski said the price of oil could sink to as low as $20 per barrel and pump prices may plummet to $1 per gallon by early next year.
"The oil market is a manic-depressive market. It tends to over shoot," said Petrowski told WCVB-TV in Boston. "The market overshot last summer on the high side. Oil should never should have gone to $147, but it did and it can."
Now Petrowski believes the slide in oil prices will continue and overshoot on the low side. "There is a better than 25-percent probability that we'll see oil go as low as $1 a gallon sometime after the first of the year," he said.
Dramatically lower gas prices would essentially be similar to a rebate check for consumers, he said. The drop may even help ease the country out of the recession.
What will you do with the money saved at the pump?