Gas prices in Newfoundland and Labrador dropped by almost six cents a litre on Thursday, with the cut swallowing up most of an increase that had been imposed last week.

Gas prices fell by almost six cents on Thursday morning. (CBC )

The Public Utilities Board told retailers to lower their maximum prices on all grades of gasoline by as much as 5.6 cents per litre.

The PUB had approved a jump last week of 6.7 cents, in the wake of a rally on the oil market.

Thursday's setting brought the maximum price for a litre of self-serve unleaded gas on the Avalon Peninsula, where prices are cheapest, to $1.388.

Some retailers charge considerably less, and prices have been fluctuating substantially in the St. John's area.

Diesel fuel, however, became more expensive, with an increase of up to 0.8 cents per litre.

Furnace oil went up slightly, by 0.11 cents per litre. Stove oil is up by just 0.04 cents per litre.

There was no change in the price of propane.

The chart below shows how average gas prices in Newfoundland and Labrador have changed over the last 12 months, compared to both changes in the national average for gas prices and the global price of oil.