Exxon Mobil Subsidiary Fined Over $11 Million for Misleading Fuel Claims in Australia

Deep News
02/21

Australia's competition regulator announced on February 18 that the Federal Court has imposed a fine of 16 million Australian dollars (approximately $11.3 million) on Mobil Oil Australia due to misleading promotional claims about fuel sold at certain service stations in Queensland. Mobil Oil Australia, a subsidiary of Exxon Mobil Corporation, supplies petroleum, diesel, and fuel products to retailers across Australia.

The Australian Competition and Consumer Commission took the subsidiary to court in 2024, alleging that fuel sold at six branded service stations in Queensland misled consumers. In a statement issued on the 18th, the commission stated that between August 2020 and July 2024, Mobil falsely claimed that its "Mobil Synergy fuel" contained specific additives. This activity occurred at nine Mobil service stations in northern and central Queensland.

The regulator indicated that the fuel sold at these Mobil stations was substantially identical or similar to additive-free gasoline available at non-Mobil retail outlets. The commission stated that these claims were made through various signs and brand identifiers promoting "Mobil Synergy fuel" at the nine service stations. Deputy Chair of the commission, Mick Keogh, said it is likely that some people refueling at these stations believed they were purchasing higher-quality fuel for their car engines.

The commission's statement noted that the company's actions breached Australian Consumer Law. In an emailed response, Mobil stated that it has taken measures to either not install "specific benefit claims" on fuel dispensers at the relevant locations or to cover or remove these claims at sites where Synergy fuel is not used.

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