Roger McKnight, senior petroleum analyst with En-Pro International, said as of 12:01 a.m. prices are expected to drop to an average of 92.9 cents per litre in the Toronto area — down from 102.9 cents per litre.
He said some stations will have prices even lower than 92.9.
McKnight said the collapse of an oil supply cut agreement between Saudi Arabia and Russia, coupled with the uncertainty and less demand for oil amid the COVID-19 outbreak, will result in the decrease.
“This is an astronomical drop,” McKnight said.
“I’ve been doing this for over 20 years, I’ve never seen a drop of 10 cents — ever.”
He said he expects the trend to extend beyond the Toronto area as well.
“It’s going to be a general decrease right across the country between seven and 10 cents,” McKnight said.
As oil prices fell 20 per cent, stocks throughout North America also plummeted on Monday. The TSX closed down 10.3 per cent.
— With files from the Associated Press