Further Drop Forseen Publication: Automotive Daily News Dateline: Washington, D.C. Date: 27 August 1925 Subject: Petroleum

Washington, Aug. 27.—Gasoline prices in Washington will drop this year to 1924's 16 cent level or probably lower, Paul Himmelfarb, Penn Oil Company president, predicted today.

Gasoline dropped one half a cent a gallon in Washington today, the fourth price cut in seventeen [copy damaged]. This is the biggest series of [copy damaged] in local gasoline selling [copy damaged] Himmelfarb said.

oday's reduction brings the [copy damaged] vice station price here to 21 cents and the tank wagon price to [copy damaged] cents. The cut follows two [copy damaged] cent and one ½ cent reductions since August 8.

Overproduction of crude oil in California and a dull export market is responsible for the price descent, Himmelfarb explained. California is producing 5,000,000 gallons of gasoline daily, he said, and 3,000,000 gallons of this floods the Eastern market. With little gasoline being exported, the Pennsylvania producers have been forced to cut prices to withstand the Western gasoline invasion and overflow.