YELLOWKNIFE - Yellowknifers are doling out the dollars in high gas prices these days as the costs have hit as high as $1.20 per litre.

Dylan Beliveau, a gas bar attendant at Yellowknife Motors, said he can hardly afford to take his vehicle out since gas prices have been skyrocketing. The price of crude oil has hit $68 (U.S.) a barrel with investors anxious over what will happen with the Iranian seizure of 15 British marines and sailors. - Christine Grimard/NNSL photo

"I'd go driving with my vehicle, but I can't afford the gas," said Dylan Beliveau, a gas bar attendant at Yellowknife Motors.

But Yellowknife motorists aren't alone in paying more at the pumps these days. Crude oil prices are now sitting at over $68 (U.S.) a barrel.

"You've got to pay what the price is," said Lorraine Jean, a Yellowknife driver also said she doesn't care that much, knowing prices have gone up everywhere in Canada.

The price of oil has been rising since Iranian authorities detained 15 British marines and sailors on March 23.

There are three factors that can lead to the increase in gas prices: crude oil price, the North American commodity market, and local conditions, according to John Skowronski, a spokesman for the Canadian Petroleum Products Institute.

Skowronski said that the price of crude oil increases when investors worry about the stability of the market.

Beliveau said he has noticed that business has been a little slower these days since the price increase.

Lucas Moldowan, a gas bar attendant at Gastown Ltd., said he's also noticed business has slowed.

Moldowan said that when prices are high, customers go to larger corporations that can better absorb the price increase.

Gas prices operate on a market system. Companies that operate more efficiently will be able to sell their gas for cheaper.

This is why the price is sometimes lower at gas stations connected to larger organizations such as Petro Canada and the Co-op.

"The more you sell, the deeper a discount you can provide," said Sneh Seetal, a spokesperson for Petro Canada.

Since the oil industry is a highly competitive business, companies who want to stay on top will keep the price as low as they profitably can, said Seetal.