Aviation Fuel price records

[AirlinePilot]

Avgas 5.58 This number isn't coming down very fast and it's got me ticked off.

Jetfuel 3.33 Thats better but over the longer term its still very high. Anything over 2.25 or so could be considered very expensive as of just a year or two ago.

[AirlinePilot]

Avgas 5.56


Jetfuel 3.24

[AirlinePilot]

Avgas is moving back higher again, Im sure its supply related.

Avgas is at 5.63


Jetfuel continues its decline, likely due to the amount of schedule shrinkage at the majors.

Jetfuel 3.13

[AirlinePilot]

Jetfuel is down to 2.92 this week!

Avgas is still reluctant to show the drop as regular car gas has. Its still above 5 at 5.48

[pup55]

AP:

Do you have any observations on the following:

a. How has the current situation affected the charter-type flying i.e. companies that want to charter planes to fly their people around? Do you have a sense of what is going on in that business?

Probably some of this is affected by the airlines' fare strategy at the moment (doing whatever they need to fill the seats).


b. Any noticeable effects on the amount of pleasure flying yet? I imagine anyone who is really into flying and has deep pockets will still be glad to pay a hundred or so for a weekend flight around town.

[AirlinePilot]

AP:

Do you have any observations on the following:

a. How has the current situation affected the charter-type flying i.e. companies that want to charter planes to fly their people around? Do you have a sense of what is going on in that business?

Probably some of this is affected by the airlines' fare strategy at the moment (doing whatever they need to fill the seats).


b. Any noticeable effects on the amount of pleasure flying yet? I imagine anyone who is really into flying and has deep pockets will still be glad to pay a hundred or so for a weekend flight around town.

All I have is anecdotal evidence but on the pleasure flying end its noticeable that there is a decline. I've attended three events, during the last few months and the attendance was down at all of them as far as aircraft go.

Not sure about the charter stuff as I have no real exposure to it.

I'm flying slightly less but can still afford the bi-monthly 100$ Hamburger.

[AirlinePilot]

This weeks latest drop:

Avgas is down nicely to 5.02 The drop seemed very delayed compared to regular autogas reductions recently.

Jetfuel continues it's decline and now sits at 2.17 which while still expensive is a huge relief and has to be having a large effect on bottom line costs.

[ndemeis]

Was curious if anyone has information on European jet fuel prices? I'm currently abroad and haven't noticed a price change in regular gasoline prices since oil has crashed since i've been here. What is jet fuel doing can only seem to find information on US prices or old european prices from 2006?

[AirlinePilot]

Avgas now 4.47 national average


Jetfuel is down to 1.86 and continues its drop largely due to the giant reduction in jet fuel demand.

[AirlinePilot]

For the last week of 08 things are still in the downward spiral.

Jetfuel is at a national average of 1.30 and is now in the zone of decent profitability for airlines. Good news for my industry, lets see how long it lasts!

Avgas is still coming down, but not as fast as most of us General Aviation types would like.

National average is 4.15 which is still a bit on the high side and continues to put a hurt on recreational type flying.

[Tanada]

For the last week of 08 things are still in the downward spiral.

Jetfuel is at a national average of 1.30 and is now in the zone of decent profitability for airlines. Good news for my industry, lets see how long it lasts!

Avgas is still coming down, but not as fast as most of us General Aviation types would like.

National average is 4.15 which is still a bit on the high side and continues to put a hurt on recreational type flying.

Do you think other airlines learned the lesson from Southwest and will lock in futures contracts at these prices spanning the next 5 years? Or longer?

[AirlinePilot]

The volatility and downward pressure over the last six months burned a bunch of airlines trying to hedge. The other issue is I think that there aren't as many suppliers willing to play the game right now with all the uncertainty in the economy. With hedging someone usually loses, either the supplier or the buyer, its a gamble.

The airlines which tried to get some hedges earlier this year are now in the position of paying more than the market price because they (and few others) failed to understand what was going on resulting in this huge collapse in price.

Its similar to the problem of folks who buy into a fixed price structure for seasonal heating oil, such as in the NE US. I think the volatility is going to kill everyone and make hegding a very risky practice as we move forward.

Southwest is now also going to be paying more than market price for their fuel due to the hedges they still have over the next few quarters, unless we get another price spike soon. I know that the airlines will continue to hedge, but its probably going to be a lot more shorter term contracts versus the longer term ones like SW has currently. There is just too much uncertainty right now with mainstream airline management. I doubt many of them understand or plan for PO effects yet anyway.

[AirlinePilot]

Latest update...

Avgas national average is 4.10, still coming down. Its lagged other fuels so far and I think we are nearing a bottom for this.

Jetfuel is up about 10 cents to 1.41 since early in the month. Interesting. I'm guessing the refining margins and the potential strike are having some impact on this.

Have we reached a bottom for jet fuel? Lowest I have seen to date was about 1.29 a few weeks back.

[medicvet]

If I am planning a trip in August/September, would it be best to buy the tickets now or to wait?

[AirlinePilot]

Update....

Jetfuel is 1.31

Avgas is 4.11

Pretty stable lately and Im guessing until the next demand spike its going to remain in this area.

[AirlinePilot]

This week Avgas averaging 4.03 and Jetfuel is now at 1.17.

Interestingly enough my airline has recently started upping the cost index used in our flight management systems to improve on time performance. This will directly result in more fuel burned per leg. Offseting this however is the largest percentage of parked aircraft since before or after 9/11 due to economic pressures and demand. We are at nearly 12% of worldwide fleets "parked". This data from recent Aviation Week articles.

[AirlinePilot]

Avgas 4.00 even

Jet fuel is back up to 1.29

Interesting that jet fuel has come back up even with the reduction in demand.

[OilFinder2]

Interesting that jet fuel has come back up even with the reduction in demand.

Do they require jet fuel refiners to put additives in during the summer like they do for gasoline?

[AirlinePilot]

I am pretty sure Jet fuel additives are done at delivery time. Not at the refinery. Not 100% sure about this.

[AirlinePilot]

Avgas is back up very slightly at 4.05

Jet fuel is ramping up again a bit, it's up to 1.45 this week.

I think this is a refining margin issue instead of a supply and demand one currently.