Rising crude oil costs and refinery improvements are giving asphalt prices a steady push upward. In May, asphalt costs were 48% higher than a year ago, according to the Bureau of Labor Statistics’ Producer Price Index. And ENR’s 20-city average price for liquid asphalt is up 42% for the year.

The aggregate binder accounts for 40% to 60% of a paving project’s total cost, says Mike Pack, president of Frehner Construction Co., North Las Vegas. Dan Gallagher, vice president of operations for Thornton, Ill.-based Gallagher Asphalt Corp., says it is paying $405 per ton compared to $170 a year ago.