As others stated, the shunt voltage is too high; think of it in terms of ohms law.
You want most of your power to be dissipated in your pass element, aka, your FET.
The lower the shunt voltage, the less power is dissipated in the resistor. But, it comes with a tradeoff, you don't want it to be TOO small otherwise it'll be too small of a voltage for your op amp to handle properly.
For a small constant current load, a 1 ohm resistor would probably work alright. If you're trying to measure capacity, I would keep the discharge current to around 500 mA, to 1 amp, depending on the rough size of the cell (cells will have markedly lower capacity the higher the current draw is)
So, to get 500 mA, or 0.5 A, you'd use ohms law. You know your shunt resistor is 1 ohm, and you want 0.5 amps. V = I * R.
You'd need a reference voltage of 0.5v. You'll also dissipate about 250 mW in your resistor.
To make it even more accurate, I'd also use a voltage reference instead of just dividing off of your supply voltage. It'll be more reliable that way.