Oil and gas giant Shell has confirmed chief executive Ben van Beurden will step down at the end of 2022.
He will be replaced by Wael Sawan, Shell’s head of integrated gas and renewables, effective from January 1.
At that point Mr Sawan will also join the company’s board of directors.
Mr van Beurden – Shell’s CEO since January 1 2014 – will continue working as an advisor to the board until June 30 next year, when he will leave the group entirely.
I have been fortunate to work alongside so many talented people from diverse backgrounds – all committed to the company’s goal of providing the world with the essential commodities of modern life.”
Ven van Beurden, outgoing chief executive, Shell.
Shell chairman Sir Andrew Mackenzie said: “Ben can look back with great pride on an extraordinary 39-year Shell career, culminating in nine years as an exceptional CEO.
“During the last decade he has been in the vanguard for the transition of Shell to a net-zero emissions energy business by 2050 and become a leading industry voice on some of the most important issues affecting society.
“He leaves a financially strong and profitable company with a robust balance sheet, very strong cash generation capability and a compelling set of options for growth. These were all enabled by bold moves he has led, including the 2016 acquisition of BG and the transformational $30 billion divestment of non-core assets that followed.”
‘Ben’s legacy will frame Shell’s success for decades to come’
Sir Andrew said Mr van Beurden had taken “decisive action to marshal the company through the global pandemic, seizing the opportunity for a major reset to ensure we emerged fitter, stronger and equipped to succeed in the energy transition”.
Shell’s chairman added: “Ben’s legacy will frame Shell’s success for decades to come.”
Reports started to emerge last month that Mr van Beurden was heading for the exit door.
Before taking the top job he was Shell’s downstream director for several months and executive vice-president for chemicals from 2006 to 2012.
He also held a number of operational and commercial roles in both upstream and downstream areas of the business.
The father-of-four joined Shell in 1983, after graduating with a master’s degree in chemical engineering from Delft University of Technology, the Netherlands.
He guided the company through two industry downturns and during the most recent, sparked by Covid-19, he made the monumental call to cut the shareholder dividend for the first time since the Second World War.
It was a decision that stunned the energy industry, and underlined the seriousness of the pandemic and lockdowns to business.
Energy transition
More recently he has spearheaded Shell’s drive to become an integrated energy company, supported by moves into offshore wind, hydrogen and carbon capture and storage.
Mr van Beurden said: “It has been a privilege and an honour to have served Shell for nearly four decades and to lead the company for the past nine years.
“I have been fortunate to work alongside so many talented people from diverse backgrounds – all committed to the company’s goal of providing the world with the essential commodities of modern life. I am very proud of what we have achieved together.
Next in the hotseat
Before becoming Shell’s director of integrated gas and renewables, Mr Sawan was upstream director.
Based in The Hague, he has been a member of Shell’s executive committee for three years.
He was previously executive vice-president of deepwater at the supermajor and part of its upstream leadership team.
The father-of-three was born in Beirut, Lebanon, and is a dual Lebanese-Canadian national.
He grew up in Dubai and holds a master’s degree in chemical engineering from McGill University in Montreal and an MBA from Harvard Business School.
Mr Sawan said: “It’s been a privilege to work alongside Ben and I’m honoured to take over the leadership of this great company from him.
“I’m looking forward to channelling the pioneering spirit and passion of our incredible people to rise to the immense challenges, and grasp the opportunities presented by the energy transition.
“We will be disciplined and value focused, as we work with our customers and partners to deliver the reliable, affordable and cleaner energy the world needs.”
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