Pumps for unleaded fuel at Undercliffe Service Station on busy Godley Lane were sealed off after motorists complained.
One driver said when the car fuel lines were examined the petrol "looked like muddy water with frog-spawn in it."
Mark Holmes, 49, of Skircoat Green, Halifax, was one of several drivers who contacted the Courier to report the same problem.
Mr Holmes put £50 of fuel into his wife's Renault Scenic at the BP station.
After a few days it wouldn't start and an RAC engineer suspected contaminated fuel. The car was towed to Balmoral Garage in Halifax where the tank was drained. Mr Holmes said: "All my lines were clogged up – it looked like muddy water with frogspawn."
He says the problems have cost him £240 and he will be seeking compensation.
Bank worker Christopher Conroy, of Upper Lane, Northowram, broke down after putting £35 of unleaded petrol into his Corsa at the same station.
When he took it to a garage, he said the fuel was found to contain 50 per cent water.
His tank was drained at Dews Garage, which confirmed the petrol was 50 per cent water. He said: "It was dark brown and a bit gooey with the fuel on top."
Repairs cost him £115 and he fears his car may have lasting damage.
Another man, who did not wish to be named, said he broke down just half a mile from the station after filling up. He said: "The road quickly filled up with three other people who'd broken down. All had just filled up at the same station."
He added: "I'd suspect that as this is a very busy station there will be lots of people who've had problems."
Another customer, Judith Potter, said she started experiencing problems a day after filling up at the station on November 10. Her fuel pump had to be replaced. The manager at the service station declined to comment.
A spokesman for BP said: "We are working closely with the petrol station and assisting in their investigations.
"BP continually tests fuel it delivers and so far is confident the fuel met required specifications."