* Downstream business seen as key to Shell’s energy transition

* Vigeveno previously led Shell’s global commercial business 

By Ron Bousso

LONDON, Nov 1 (Reuters) – Royal Dutch Shell has appointed Huibert Vigeveno to head its downstream businesss, the refining, trading and marketing operations that are to become a key pillar for the oil and gas company as it transitions to cleaner energy.

Vigeveno, 50, previously led Shell’s global commercial business and rose to prominence when he oversaw the integration of smaller rival BG Group after its $53 billion acquisition in 2016.

His appointment comes several months after Wael Sawan replaced Andy Brown as head of the oil and gas production, or upstream, division.

Both Vigeveno and Sawan, together with Maarten Wetselaar who heads the Integrated gas division, are seen by many in the company as future candidates to eventually succeed Chief Executive Ben van Beurden.

Dutch national Vigeveno will replace John Abbott, who has headed the downstream division since 2013. Abbot led Shell’s restructuring of refining and chemicals operations, which included selling refineries and stakes in joint ventures in Saudi Arabia and the United States to focus on hubs in the Netherlands, Singapore and the U.S. Gulf Coast.

Shell has also expanded its retail business in recent years.

Together with its chemicals operations, the Anglo-Dutch company hopes downstream will become a major source of revenue as demand for plastics grows and consumers switch to higher-quality fuels and electric vehicles.

Vigeveno will assume his new role, and will also join Shell’s executive committee, on Jan. 1.

(Reporting by Ron Bousso; Editing by David Goodman and Mark Potter)

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