As a result of it’s privately held, Colonial is beneath much less stress than a publicly traded firm could be to disclose particulars. However because the custodian of a serious piece of the nation’s cyberinfrastructure, the corporate is sure to come back beneath scrutiny over the standard of its protections and its transparency about the way it responded to the assault.
Folks accustomed to the investigation mentioned that though Colonial insisted that it grew to become conscious of the assault on Friday, the occasions appeared to have unfolded over a number of days. It has employed the personal cybersecurity firm FireEye, which has responded to the hacking of Sony Pictures Entertainment, vitality facility breaches within the Center East and lots of occasions involving the federal authorities.
Bringing down the pipeline operations to guard towards a broader, extra damaging intrusion is pretty customary observe. However on this case, it left open the query of whether or not the attackers themselves now had the flexibility to instantly flip the pipelines on or off or result in operations that might trigger an accident.
The ransomware assault is the second recognized such incident aimed toward a pipeline operator. Final yr, the Cybersecurity and Infrastructure Safety Company reported a ransomware assault on a pure fuel compression facility belonging to a pipeline operator. That induced a shutdown of the power for 2 days, although the company by no means revealed the corporate’s identify.
Cybersecurity consultants say the rise of automated assault instruments and cost of ransom in cryptocurrencies, which make it more durable to hint perpetrators, have exacerbated such assaults.
“We’ve seen ransomware begin hitting delicate targets like hospitals and municipalities, the place shedding entry has real-world penalties and makes victims extra prone to pay,” mentioned Ulf Lindqvist, a director at SRI Worldwide who focuses on threats to industrial programs. “We’re speaking concerning the danger of harm or loss of life, not simply shedding your e-mail.”
Colonial Pipeline, primarily based in Alpharetta, Ga., is owned by a number of American and overseas firms and funding companies, together with Koch Industries and Royal Dutch Shell. The pipeline connects Houston and the Port of New York and New Jersey and likewise supplies jet gasoline to main airports, together with these in Atlanta and the Washington, D.C., space.