"I think that Shell overpaid," he said on CNBC's "Squawk on the Street," adding he believes this is a large bet on liquefied that may not pay off. "There is going to be a natural gas shortage in Asia but not in this country. Our natural gas could go under $2 because we have so much of it."
Cramer made his remarks after Shell announced it has made a $69 billion bid to buy the U.K.-based oil multinational. If the deal goes through, BG Group shareholders will own about 19 percent of the new company.
News of the move came at a time when oil prices have experienced high amounts of volatility. U.S. crude futures were down more than 4 percent late morning Wednesday after settling up about 3.5 percent at $53.98 on Tuesday.
Nevertheless, Shell CEO Ben van Beurden told CNBC's "Squawk Box" on Wednesday he believes the deal will pay off in the long run.
"This deal works in a whole range of oil and gas prices. Of course, we still believe that in the longer run in a few years' time we will see the long term fundamentals reassert [themselves] and we'll see higher oil prices than what we see at the moment. And then of course this deal will not just look very good, it will look fantastic," van Beurden said.
—CNBC's Phillip Tutt contributed to this report.