Mobil Oil Australia has been fined $16 million by the Federal Court for selling fuel while falsely claiming it would provide better engine protection.
The Australian Competition and Consumer Commission (ACCC) filed legal action against the company in December 2024 for making false or misleading claims about its fuel at petrol stations in Queensland.
It was sold at nine independently owned and operated petrol stations in central and north Queensland, including Townsville, Mackay, Proserpine, Guthalungra, Yeppoon, Rockhampton, Biloela and Barcaldine.
The ACCC said Mobil displayed signs and posters advertising fuel as Mobil Synergy between August 2020 and July 2024, which did not contain the additives that provide additional benefits compared with regular petrol.
The company advertised the fuel as containing additives that could protect engines against corrosion, reduce emissions, improve fuel economy and engine performance.
“In fact, the fuel on sale was simple, normal petrol and did not have any of the additives that were claimed,”
ACCC Deputy Chair Mick Keogh said.
The Federal Court of Australia today ruled that Mobil Oil Australia was in breach of Australian consumer law and endorsed the parties’ $16 million settlement.
Mr Keogh said the company did not take sufficient care and it was an appropriate penalty.
“It sends an important message to the industry that they have to be honest and not misleading in relation to the claims they make about their products,” he said.
“Other petrol stations weren’t making these claims, and they were potentially disadvantaged for being honest.”
He said it was an important message to all retailers to be honest with consumers and accurately describe what they were selling.
In a statement, a Mobil spokesperson apologised to any impacted customers and said it regretted the conduct occurred.
They said the sites involved “make up a small proportion of the entire Mobil network in Australia”.
The company added that the misleading sales were a result of operational difficulties, supply issues and the remote location of sites.
“This conduct relates to claims of additisation only, and, at all times, the fuel supplied to these sites complied with Australian fuel quality specifications,” the spokesperson said.
Source from https://www.abc.net.au/news/2026-02-17/mobil-oil-australia-federal-court-fine-fuel/106354140