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The main U.S. fuel pipeline was closed on Friday after a ransomware attack in an incident that highlighted the vulnerabilities of America’s critical infrastructure.
The Colonial Pipeline – the country’s largest pipeline for refined products, carrying nearly half of the fuel consumed on the east coast – was closed on Saturday after the operator said it was a “victim of a cyber security attack”.
He said the attack involved the use of ransomware. This allows hackers to take control of victim systems or data by installing illegal software, and only release the assets after payment has been made.
“In response, we proactively adopted a number of offline systems to contain the threat, which has temporarily halted all pipeline operations and affected some of our IT systems,” said Colonial Pipeline Company.
The attack on a line that spans more than 5,500 miles from Pasadena, Texas to Linden, New Jersey and the port of New York comes amid growing concerns about America’s critical cybersecurity vulnerabilities. SolarWinds attack. In the incident, Russian hackers broke into the U.S. Department of Commerce and Treasury, among other government agencies.
The number of ransomware attacks has exploded in recent years because criminals have used cryptocurrencies like bitcoin to receive extortion payments without tracking, and have increasingly leased their experience to others.
Although these attacks have tended to target corporate computer systems, experts have warned that cases targeting operational technology (OT) (computerized systems used to control operations) are becoming more common.
“U.S. energy infrastructure suffers from cyberattacks by Russians, Chinese, and other hackers, so improving the security of America’s energy systems must be key to Biden’s infrastructure goals and political messaging,” said Progressive Energy expert Paul Bledsoe. Washington Political Institute.
It is not clear whether the attackers are criminal groups — those who spread ransomware for commercial gain — or state-protected hackers.
Colonial did not say how long the suspension of operations would last, nor did he provide further details about the direction of the attack. A spokesman said Saturday afternoon he wanted to resign.
The company said it hired a third-party cybersecurity company to investigate the incident, and contacted law enforcement and federal agencies. The Federal Bureau of Investigation and the U.S. Department of Energy did not immediately respond to requests for comment.
The pipeline system transports more than 2.5m barrels of fuel per day – more than total UK daily consumption – as markets such as Atlanta, Washington and New York feed refined refueling, diesel fuel, aircraft fuel and domestic heating oil on the Gulf Coast. It was a big part of the network turn off 2017 after Harvey’s tropical storm. It was also part of the canal taken offline After the leak was found in 2016.
Gasoline and diesel futures rose slightly more on Friday. Analysts said volatility was higher when trading resumed on Sunday night if the pipeline was not quickly brought back into the network.
“For now, with the closure of a limited time, that shouldn’t be a big problem and wouldn’t affect prices,” said Patrick de Haan, a data provider who is head of GasBuddy’s oil analysis.
“However, if for some reason the pipeline can’t start the next day or two, we’ll see prices go up. A little early to say, but right now we’re looking to keep the price event or supply from being disrupted.”
Analysts say the supply of fuel to the northeast is less risky if there is a long shutdown, which could be compounded by imports. But coastal states from Georgia to the Delaware-Maryland-Virginia Peninsula were at greater risk of disruption.
“A clear concern has to do with the news feed,” said Tom Kloza, global head of energy analysis for Opis in the IHS Markit division. “There will be a cyber attack on some of the country’s main pipelines by Monday. The area where the line serves can encourage tremendous growth when consumers buy gasoline.”
Joe Biden has proposed a $ 2 tn package America’s disease infrastructure to restart, but the plan does not mention pipeline infrastructure – the turning point for environmental activist protests.
Ben Sasse, a Republican senator from Nebraska who serves on the Senate Intelligence Committee, said the colonial attack made it clear that infrastructure packages should prioritize “critical sectors” such as fossil fuel transportation over “progressive unwanted lists disguised as infrastructure.”
“It’s a play that will be done again, and we’re not properly prepared,” he said.
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