Federal Court Fines Mobil Oil Australia A$16 Million for Misleading Fuel Claims

Mobil Oil Australia has been fined A$16 million (US$11.3 million) by the Federal Court of Australia for making misleading representations about fuel sold at several petrol stations in Queensland, according to the Australian Competition and Consumer Commission (ACCC). The penalty follows court action launched by the ACCC in 2024 over claims linked to the company’s “Mobil Synergy Fuel.”

Mobil Oil Australia, a subsidiary of global energy giant Exxon Mobil, supplies petroleum, diesel, and other fuel products to retailers nationwide. The ACCC alleged that between August 2020 and July 2024, the company misled consumers by promoting Mobil Synergy Fuel as containing specific performance-enhancing additives. However, regulators found that the fuel supplied to certain branded petrol stations was the same, or substantially similar, to unadditised fuel available at non-Mobil retail sites.

The misleading conduct occurred at nine Mobil petrol stations located in north and central Queensland, including Aitkenvale, Barcaldine, Berserker, Biloela, Guthalungra, Proserpine, Rasmussen, Rural View, and Yeppoon. The ACCC stated that promotional signage and branding at these locations suggested customers were purchasing a premium fuel blend with added engine benefits.

ACCC Deputy Chair Mick Keogh emphasized that petrol is an essential household expense and consumers rely heavily on retailer signage when choosing where to refuel. The regulator noted it was likely that some motorists selected these Mobil service stations believing they were receiving higher-quality fuel for their vehicles.

The ACCC determined that Mobil’s actions breached Australian Consumer Law. Mobil Oil Australia has agreed to make joint submissions with the ACCC regarding proposed court orders, including financial penalties. The company did not immediately respond to media inquiries following the ruling.

The case underscores the importance of accurate fuel marketing claims and reinforces regulatory scrutiny over consumer protection in Australia’s energy sector.