Shell Plc (SHEL) News Today, 27 November 2025: UBS Downgrade, Ferrari Green Power Deal, Nigeria Bonga Boost & Fresh Upstream Bets

Shell Plc (LON:SHEL, NYSE:SHEL) heads into Thursday, 27 November 2025, with its share price near year‑to‑date highs, a new analyst downgrade on the tape, and a string of strategic moves spanning Nigeria, Italy, Malaysia and Italy–based Ferrari.

U.S. markets are closed today for Thanksgiving, so the latest trading data come from yesterday’s close: Shell’s NYSE ADR finished Wednesday at $73.38, up 0.8% on the day, with after‑hours trading at $73.24. ^[1] On the London market, Simply Wall St pegs the latest close at £27.67, with the stock up about 9.5% year‑to‑date and delivering a 13.5% one‑year total shareholder return and 27%+ over three years. ^[2]

Below, we round up all the material Shell‑related developments that are driving the story around SHEL as of 27 November 2025.

Market Snapshot & Valuation Check

Analytics platform Simply Wall St estimates Shell’s “fair value” at £31.78 per London‑listed share, about 12.9% above the recent £27.67 close, arguing that the stock remains modestly undervalued despite a solid run in 2025. ^[3] That narrative leans heavily on:

Growing LNG exposure, including projects such as LNG Canada and new developments in Egypt and Trinidad & Tobago.
A view that LNG will play a key “transition fuel” role, supporting long‑term earnings power.
A strong balance sheet and sizeable free‑cash‑flow generation, reinforced by capital‑markets materials released earlier this year. ^[4]

However, today’s news flow also contains a high‑profile note of caution.

UBS Downgrades Shell: “No Longer Cheap” After 2025 Rally

Investment bank UBS has downgraded Shell from “Buy” to “Neutral”, trimming its 12‑month price target from 3,200p to 3,000p (from £32 to £30 per share). ^[5]

Key points from UBS and related commentary:

Shell shares are up roughly 12% in 2025, driven by repeated cash‑flow beats and disciplined cost control. ^[6]
After this rally, UBS says the stock is “no longer cheap”, with stretched valuation multiples and “harder to justify” upside based on medium‑term resource replacement and growth prospects. ^[7]
The bank cuts its target using a blended method: a sum‑of‑the‑parts model assuming $75/bbl oil and a 6x EV/DACF multiple, resulting in a roughly 6% price‑target reduction. ^[8]

Despite the downgrade, UBS still calls Shell the “most defensive major”, pointing to:

A dividend breakeven oil price around $43 per barrel, and
Net debt to capital of about 21%, which supports ongoing shareholder distributions. ^[9]

Other commentators, including The Fly and independent blogs, have echoed this idea: the stock may be fully valued in the near term, but the underlying financial strength and integrated portfolio remain intact. ^[10]

Buybacks: Fresh “Transaction in Own Shares” Updates

Shell continues to lean on share buybacks as a core pillar of its capital‑return story.

Q4 programme & long‑term pattern

In its Q3 results, Shell announced a new $3.5 billion buyback for the current quarter – the 16th consecutive quarter of substantial repurchases. ^[11]
UBS estimates that buybacks now account for roughly 62% of total shareholder distributions and that Shell is on track to reduce its 2025 share count by around 30% versus 2020, although the bank warns this may take “more of a back seat” next year. ^[12]

25 & 26 November trades (reported today)

Two fresh “Transaction in Own Shares” regulatory announcements, republished today via GlobeNewswire and outlets like Taiwan News and StockTitan, show sizeable buybacks early this week:

25 November 2025:
- 1,498,482 shares purchased for cancellation in total.
- 748,395 on the LSE at a volume‑weighted average price (VWAP) of £27.7619.
- 750,087 on Euronext Amsterdam at a VWAP of €31.7079. ^[13]
26 November 2025:
- 747,233 shares bought on the LSE (VWAP £27.6548).
- 742,836 on Euronext Amsterdam (VWAP €31.5992). ^[14]

Both announcements reiterate that:

The repurchases form part of the buyback programme unveiled on 30 October 2025;
Merrill Lynch International is executing trades independently within pre‑set parameters; and
The programme is scheduled to run through 30 January 2026, under UK and EU market‑abuse rules. ^[15]

For shareholders, the mechanics are straightforward: as shares are cancelled, earnings and dividends are spread over a smaller share base, supporting per‑share metrics even if headline profits move sideways.

Big Strategic Move: Larger Stake in Nigeria’s Deep‑Water Bonga Field

In upstream oil, Shell has just closed a major deal in Nigeria:

On 25 November 2025, Shell Nigeria Exploration and Production Company (SNEPCo) completed an agreement to lift its stake in the OML 118 Production Sharing Contract, which includes the deep‑water Bonga field, from 55% to 65%. ^[16]
Eni’s Nigeria Agip Exploration increases its share from 12.5% to 15%, while Esso (an ExxonMobil subsidiary) holds 20%, with the partners operating on behalf of the Nigerian National Petroleum Company (NNPC). ^[17]

Shell describes Bonga as a “significant investment in Nigeria deep‑water” and links the transaction to its strategy of concentrating capital in competitive existing assets that can deliver sustained liquids production and free cash flow. ^[18]

The acquisition follows last year’s final investment decision (FID) on Bonga North, reinforcing Shell’s conviction in the basin and in its broader LNG and crude supply chain in West Africa. ^[19]

Energy Transition Highlight: 10‑Year Ferrari Renewable Power Deal

On the energy‑transition side, Shell marked one of its most headline‑grabbing deals this week with Italian luxury carmaker Ferrari:

Shell has signed a 10‑year corporate power purchase agreement (PPA) to supply Ferrari with 650 GWh of renewable electricity through 2034. ^[20]
The power will come from a plant developed by Shell’s Italian business and is expected to cover nearly half of the energy demand at Ferrari’s iconic Maranello plant near Modena. ^[21]
Shell Energy Italia will supply additional power and renewable energy certificates to fully cover Ferrari’s energy needs in Italy. ^[22]

Ferrari has committed to a 90% reduction in Scope 1 and 2 emissions by 2030; Shell’s long‑term PPA is framed as a “concrete example” of how the company can support customers’ decarbonisation goals while still generating returns from power and renewables. ^[23]

The deal also deepens a relationship that already spans 75 years of collaboration with Scuderia Ferrari in motorsport. ^[24]

Italy: Shell Ready to Invest More If Drilling Permits Are Unlocked

In another European development, Shell signalled a willingness to step up hydrocarbon investment in Italy–provided regulation keeps pace.

In an interview with Reuters in Rome, Joao Santos Rosa, Shell’s country chair for Italy, said:

Shell currently invests about €500 million per year in Italy and is the country’s leading foreign upstream investor. ^[25]
Production from Shell and its partners in the southern Basilicata region already represents around 85% of Italy’s oil output and 36% of its gas production, via the Val d’Agri and Tempa Rossa fields operated with Eni and TotalEnergies/Mitsui. ^[26]
If the government authorises new wells in those concessions, Val d’Agri’s output could potentially double to 80,000 barrels of oil equivalent per day from about 40,000 boe/d today. ^[27]

“The potential is far greater than what we invest now… we could invest significantly more,” Santos Rosa said, but stressed that this depends on drilling permits and policy clarity. ^[28]

For investors watching Shell’s upstream pipeline, Italy now joins Nigeria’s Bonga expansion as another lever that could support liquids production over the second half of the decade.

Today’s Fresh Operational & Retail Headlines (27 November 2025)

Beyond big‑ticket strategy, several smaller but notable Shell‑linked updates have crossed the wires today:

1. 4D Seismic Survey Offshore Sabah, Malaysia

Marine seismic specialist Shearwater GeoServices announced a contract from Sabah Shell Petroleum, Shell’s Malaysian subsidiary, for a 4D ocean‑bottom‑node (OBN) seismic survey off the west coast of Sabah. ^[29]

The project will acquire high‑resolution time‑lapse seismic data to improve reservoir understanding and field management.
Work is scheduled for early 2026, using the SW Tasman vessel, which will handle both node deployment and seismic source operations. ^[30]

This kind of survey helps Shell squeeze more value from existing fields—supporting the “more value from less emissions” mantra outlined in its 2025 Capital Markets Day. ^[31]

2. New Shell‑Branded Fuel Station in Cyprus

In retail fuels, Coral Cyprus, a Shell licensee, has opened a new Shell‑branded service station in Lakatamia, expanding the network around Nicosia. ^[32]

The site offers Shell V‑Power fuels, a Shell Select convenience store and car‑care services, and is integrated with the Shell GO+ rewards app. ^[33]
Coral Cyprus notes it now operates over 40 stations across the country and emphasises investment in both convenience and sustainability features. ^[34]

While small in group‑wide financial terms, this underscores Shell’s continued push to keep its retail brand and premium fuels visible in key markets through licensing deals.

3. Indonesia Fuel Supply Activity

A MarketBeat round‑up of Shell news notes that Shell has absorbed an additional base‑fuel cargo from Indonesia’s Pertamina, reportedly around 100,000 barrels of product, in a business‑to‑business arrangement. ^[35]

The move appears to be an operational optimisation step in Shell’s Asian marketing and supply chain, rather than a strategic shift, but it adds to the narrative of active portfolio management in refined products.

Legal Overhang: Venture Global LNG Dispute

On the legal front, Shell remains embroiled in a high‑stakes LNG contract dispute with U.S. exporter Venture Global:

According to a staff note first reported by the Financial Times and confirmed by Reuters, Venture Global accused Shell of waging a “three‑year campaign” to damage its business, after Shell appealed an arbitration ruling that largely favoured the LNG producer. ^[36]
Venture Global has previously faced arbitration claims from Shell, BP and others over its decision to sell cargoes on the spot market during the 2022 energy crisis instead of supplying long‑term contract customers. ^[37]
Shell has launched a challenge in New York state court seeking to overturn the arbitration ruling and has also been ordered to pay Venture Global’s legal fees in a related case. ^[38]

For shareholders, the key issue is less about immediate cash impact and more about reputational and contractual risk in LNG—a business that Shell highlights as central to its long‑term transition and cash‑flow story. ^[39]

Fundamentals: Q3 2025 Results Still Provide a Solid Backdrop

Underneath the headline noise, Shell’s recently reported Q3 2025 numbers continue to shape investor perception:

Adjusted earnings:$5.4 billion.
Cash flow from operations:$12.2 billion. ^[40]
Strong production in Brazil and the Gulf of Mexico, with Brazil hitting a record quarterly output. ^[41]
Ongoing challenges in the chemicals segment due to weak margins, and expectations for fewer LNG trading opportunities in Q4 versus Q3. ^[42]
A continued focus on portfolio high‑grading, including exiting some lower‑return assets and halting the Rotterdam HEFA biofuels plant construction amid policy and margin headwinds. ^[43]

These numbers help explain why some valuation models, like Simply Wall St’s, still see upside even as UBS turns more cautious: cash generation remains robust, but future growth and project execution will determine whether current multiples are justified. ^[44]

Key Things for SHEL Investors to Watch After Today

As of 27 November 2025, the Shell story is being pulled in two directions:

Supportive factors
- Aggressive and ongoing buybacks that mechanically lift per‑share metrics. ^[45]
- Strategic growth in high‑margin upstream assets, notably the enlarged Bonga stake in Nigeria and potential expansions in Italy if permits move forward. ^[46]
- Long‑term energy‑transition partnerships like the Ferrari PPA, which strengthen Shell’s ESG narrative and power business. ^[47]
Headwinds & uncertainties
- The UBS downgrade and similar commentary suggesting that, after a strong 2025 rally, Shell’s shares are closer to full value. ^[48]
- Legal and reputational risk from the Venture Global LNG dispute, including court challenges and fee awards. ^[49]
- Persistent margin pressure in chemicals and a more muted LNG trading outlook into Q4. ^[50]

Upcoming catalysts include Q4 2025 results on 5 February 2026, further “Transaction in Own Shares” disclosures as the buyback runs through January, any regulatory movement on Italian drilling permits, and updates on the Venture Global litigation path. ^[51]

Important: This article is for information only and does not constitute investment advice or a recommendation to buy or sell any security. Investors should conduct their own research or consult a licensed financial adviser before making investment decisions.

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