Shell shock warning on plot to move listing to New York could fuel oil and gas exodus

Shell will face questions over its future on London’s stock market in 2025 in what is set to be a crucial year for the energy giant, writes Jessica Clark.

Chief executive Wael Sawan has warned he will consider moving its listing to New York if attempts to boost its valuation in the UK do not pay off.

He set a deadline to increase value and cut costs by the end of 2025 before taking more drastic measures, which could include ditching London for the US. 

Such a move would be a major blow for the City as Shell is one of the biggest companies in the FTSE 100 with a valuation of almost £152billion.

It is feared that Shell’s exit would prompt rival exploration giants such as miners Rio Tinto and Glencore and oil and gas group BP to follow suit. 

‘I have a location that is clearly undervalued,’ Sawan told Bloomberg in April.

He said the oil giant was on a ‘sprint’ to close the valuation gap with US rivals ExxonMobil and Chevron by the end of next year. 

If no improvement was made, Sawan said the firm would look at ‘all options’ including the possibility of moving its share listing to New York.

‘If we work through the sprint and we still don’t see that the gap is closing, we have to look at all options,’ he said.

Shell declined to comment on its plans for 2025.

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