Adani-Qatar JV: A Strategic Maritime Deal That Escaped the Headlines

Prominent political leaders have already begun insinuating that PM Modi facilitated this deal as a favour to Adani, despite there being no evidence to support such claims.

Adani-Qatar Joint Venture: A Strategic Maritime Deal Inked on February 12

In a move of immense strategic and commercial significance, Adani Harbour Services Limited (AHSL)—a wholly owned subsidiary of Adani Ports and Special Economic Zone Limited (APSEZ)—inked a joint venture agreement with Qatar-based Sea Horizon Offshore Marine Services (SHM) and Qatari businessman Jamal A. Rab A M Al Yafei on February 12, 2025. This agreement, which gives Adani Group a 49% stake in the newly formed Al Annabi Marine Services, was signed barely five days before the two-day state visit of the Amir of Qatar, Sheikh Tamim bin Hamad Al Thani, to India.

Despite its high economic and geopolitical significance, this deal was conspicuously absent from the mainstream Indian media's coverage of the Amir’s visit. Interestingly, even though Adani Ports had duly informed the Indian stock exchanges, the joint venture found no mention in the official India-Qatar joint communiqué, nor in the separate press releases issued by the two governments after the conclusion of the visit.

This raises an intriguing question: Why was such a major corporate development, aligning India’s largest port operator with a key Qatari offshore services provider, kept out of the diplomatic narrative? While the silence may simply be due to the fact that this was a privately negotiated commercial deal, it has already sparked political insinuations and opposition allegations, accusing Prime Minister Narendra Modi of “dishing out” lucrative deals to his “favored private player.” While these claims lack any factual basis, the sheer timing of the deal in proximity to the Amir’s visit makes it a subject of curiosity.

The Adani-Qatar Joint Venture: Structure and Scope

The newly formed Al Annabi Marine Services has been registered with Qatar’s Ministry of Commerce and Industry with an initial share capital of QAR 100,000. The stakeholding structure is as follows:

• Adani Harbour Services Limited (AHSL): 49% stake

• Sea Horizon Offshore Marine Services (SHM) & Qatari businessman Jamal A. Rab A M Al Yafei: 51% stake

The company will focus on maritime operations and offshore logistics, with key areas of expertise including:

• Vessel chartering and operations

• Crew management and offshore energy logistics

• Support services for Qatar’s massive liquefied natural gas (LNG) sector

Why This Deal Matters for Adani

Expanding in the Gulf Amid Western Market Challenges

For Adani Group, this Qatar venture comes at a crucial juncture. Following the 2023 Hindenburg Research report, the conglomerate faced intense scrutiny in Western financial markets and encountered setbacks in South Asia, including:

• A stalled solar project in Sri Lanka

• A contentious power plant deal in Bangladesh

• Western institutional investors pulling back from Adani-linked stocks

However, Qatar has consistently stood by Adani, with the Qatar Investment Authority (QIA) injecting ₹4,300 crore into Adani Green Energy in 2023—a vote of confidence in the conglomerate’s long-term viability. This joint venture further strengthens Adani’s reputation in the Gulf and aligns with its ambition of becoming the world’s largest port operator by 2030.

Maritime Expansion Strategy and Existing Assets

The Adani Group has been steadily building its maritime footprint, particularly after acquiring India’s largest marine services company, Ocean Sparkle Limited (OSL), in 2022. OSL operates 94 vessels and has a presence in Oman, Saudi Arabia, and Sri Lanka. By partnering with SHM, a dominant offshore logistics player in Qatar, Adani gains access to the Gulf’s lucrative offshore energy corridor.

This deal also complements Adani’s other strategic maritime acquisitions, such as:

• Stake in Dubai’s Astro Offshore

• Acquisition of Israel’s Haifa Port

With Al Annabi Marine Services, Adani now extends its operations into Qatar’s offshore LNG infrastructure, a market dominated by global shipping giants.

Qatar’s Motivation: Strengthening Its Offshore Energy Logistics

The Role of Sea Horizon Offshore Marine Services (SHM)

SHM is a Qatari-owned firm with over 45 years of experience in offshore marine services. It specializes in:

• Offshore support vessels (OSVs)

• Towage and crew transportation

• Logistics support for QatarEnergy’s North Field expansion

Qatar’s North Field is the world’s largest LNG project, and QatarEnergy is ramping up LNG production capacity to 126 million metric tons per year by 2027. This expansion drives demand for OSVs and offshore logistics providers, making the partnership with Adani a well-timed move.

Geopolitical and Trade Implications

PM Modi’s Personal Diplomatic Outreach to Qatar

The timing of this deal is significant in the context of PM Modi’s diplomatic engagement with Qatar. The Amir’s visit saw:

• An upgrade of India-Qatar ties to a strategic partnership

• Discussions on an India-GCC Free Trade Agreement (FTA)

• Expanded LNG cooperation to secure India’s energy needs

Since Qatar supplies over 40% of India’s LNG, this joint venture strengthens energy supply chain integration between the two countries.

Regional Balancing and India’s Gulf Strategy

India’s balanced approach in West Asia has helped it maintain strong ties with Qatar, despite regional tensions. While Qatar has faced pressure from the West over its mediation with Hamas, India has refrained from designating Hamas as a terrorist organization, allowing for diplomatic flexibility.

However, the absence of cecooperation in the India-Qatar joint communiqué suggests some unresolved tensions, likely stemming from:

• The expiration of the India-Qatar Defense Cooperation Agreement in 2023

• The diplomatic row over the prolonged detention of Indian naval veterans in Qatar (2022–2024)

PM Modi’s personal intervention secured the release of the eight Indian naval officers, but Commander Purnendu Tiwari remains under travel restrictions, indicating that bilateral ties still require careful handling.

Stock Market and Business Reactions

Impact on Adani Ports’ Stock Performance

Following the JV announcement, Adani Ports’ stock saw a 1.7% rally, though long-term trends remain bearish, with the stock still 30% below its 2024 peak. Key concerns include:

• Adani’s high debt-to-asset ratio of 0.81, raising leverage risks.

• Concerns over Qatar’s strict local hiring mandates, which require at least 60% Qatari employment in energy projects.

Despite these factors, the JV’s stable revenue stream—supported by SHM’s long-term contracts with QatarEnergy—makes it a low-risk, high-reward move for Adani.

In Summary: A Commercial Deal, Not a Diplomatic Bargain

While the Adani-Qatar joint venture was privately negotiated, its timing—just days before the Amir’s high-profile visit—has fueled opposition speculation. Prominent political leaders have already begun insinuating that PM Modi facilitated this deal as a favour to Adani, despite there being no evidence to support such claims.

The absence of the JV in official statements simply reflects the fact that this was a corporate transaction, not a government agreement. Nevertheless, its implications for India-Qatar trade, energy logistics, and Gulf maritime dominance cannot be ignored.

As Adani continues expanding its global port empire, this venture cements its presence in the Gulf’s lucrative LNG shipping sector—a move that aligns seamlessly with India’s energy security goals. Whether political narratives distort the reality or not, the deal stands as a purely commercial success, marking another milestone in India’s growing economic footprint in West Asia.