colonial pipeline ransomware attack

The majority of ransomware victims never publicize their attacks. "Unfortunately, these sorts of attacks are becoming more frequent," she said on the CBS News broadcast "Face the Nation." Responsible for delivering gas, heating oil and other … First published on May 10, 2021 / 5:04 AM. Updated on: May 10, 2021 / 2:43 PM / CBS/AP This is a big deal," he adds. That leaves critical infrastructure providers in the US with little choice but to bolster their defenses against an onslaught of loosely organized criminal hackers—whose disruptive ambitions are only growing. Security experts said the attack should be a warning for operators of critical infrastructure — including electrical and water utilities and energy and transportation companies — that not investing in updating their security puts them at risk of catastrophe. DarkSide is among ransomware gangs that have "professionalized" a criminal industry that has cost Western nations tens of billions of dollars in losses in the past three years. But now apparently profit-focused cybercriminal hackers have inflicted a disruption that military and intelligence agency hackers have never dared to, shutting down a pipeline that carries nearly half the fuel consumed on the East Coast of the United States. But Lee says Dragos has seen a growing number of ransomware groups working to infect the OT systems that control industrial and manufacturing equipment, with the aim of totally disrupting their victims' operations. Israel answers barrage of rocket fire with deadly strikes on Gaza, Drivers scramble for gas as pipeline shutdown continues, Watch Live: Senate committee holds markup on voting bill, At least 9 killed in shooting at Russian high school, Large companies "rigged" CEO pay during pandemic, study claims, McCarthy sets vote to remove Cheney from House GOP leadership, Emergency use granted for Pfizer vaccine for kids aged 12-15, Baffert claims Kentucky Derby winner is "cancel culture" victim, 95-year-old becomes oldest organ donor in U.S. history, FBI identifies oil pipeline cyberattack hackers. What is Ransomware and How Do You Deal With It? In the Colonial Pipeline case, it's not yet clear if the hackers bridged that gap to systems that could have actually allowed them to meddle with the physical state of the pipeline or create potentially dangerous physical conditions. It also provides yet another demonstration of how severe the global epidemic of ransomware has become. For one thing, its network carries 45% of the fuel consumed by the US East Coast. Presenting: the Colonial Pipeline. All rights reserved. May 10, 2021 1:42 pm. "I think Congress is going to have questions. At the White House, President Biden told reporters Monday the U.S. intelligence community had no evidence the Russian government was involved with the Colonial attack, but Mr. Biden said there was evidence the ransomware was in Russia. An attack has crippled the company’s operations—and cut off a large portion of the East Coast’s fuel supply—in an ominous development for critical infrastructure. The 5,500-mile pipeline … On Friday, Colonial Pipeline Company discovered that it had been hit by a ransomware attack. We’re talking from Texas all the way up to New Jersey. © 2021 Condé Nast. The lack of acknowledgment usually indicates a victim is either negotiating or has paid. State-backed hackers bent on more serious destruction use the same intrusion methods as ransomware gangs. Commerce secretary: Economy has "long way to ... forced the shutdown of a vital U.S. pipeline, California Privacy/Information We Collect. Reuters reports that incident responders from security firm FireEye are assisting the company, and that investigators suspect that a ransomware group known as Darkside may be responsible. In fact, ransomware operators have increasingly had industrial victims in their sights in recent years. Ransomware caused major trouble last week, as the famous Colonial Pipeline fell victim to a devastating cyber-attack. The operator of the biggest gasoline pipeline in the U.S. shut down operations on Friday following a ransomware attack. A provider got hit with ransomware from a criminal act, this wasn't even a state-sponsored attack, and it impacted the system in this way? The response to the rising ransomware threat, meanwhile, has not stemmed the tide. Photograph: Luke Sharrett/Bloomberg/Getty Images, state-sponsored hackers could shut down large swathes of US energy infrastructure, digitally crippled and extorted hospitals, threatened to publicly out police informants, paralyzed municipal systems in Baltimore and Atlanta, first ransomware apparently custom-designed to cripple industrial control systems, spate of vulnerabilities in the VPNs companies use, Upgrade your work game with our Gear team’s. Russian cyberwarriors, for example, crippled the electrical grid in Ukraine during the winters of 2015 and 2016. When a key piece of infrastructure suddenly stops working, people notice. In one case in 2013, they broke into the control system of a U.S. dam. Russian criminal group suspected in Colonial pipeline ransomware attack The group, known as DarkSide, is relatively new, but it has a sophisticated approach to extortion, sources said. Operators of the Colonial pipeline—a 5,500-mile system that takes fuel from refineries in Houston, Texas to the New York harbor—have shut down the entire system because of the cyberattack, which officials revealed to be ransomware on Saturday The pipeline carries gasoline and other fuel from Texas to the Northeast. On Monday, Colonial Pipeline said it was planning a "phased approach" with the goal of "substantially restoring operational service by the end of the week.". Top U.S. fuel pipeline operator Colonial Pipeline shut its entire network, the source of nearly half of the U.S. East Coast's fuel supply, after a cyber attack on Friday that involved ransomware. There Are Concerns Colonial Pipeline Ransomware Attack Could Lead To Higher Prices At The PumpDays after the attack, which impacted a pipelines that … Its pipeline system spans more than 5,500 miles, transporting more than 100 million gallons a day. Ransomware attack on major U.S. pipeline is work of criminal gang called DarkSide, FBI says. Colonial Pipeline, which is based in Alpharetta, had to shut down many of its operations due to the attack. DarkSide claims it doesn't attack hospitals and nursing homes, educational or government targets and that it donates a portion of its take to charity. Get browser notifications for breaking news, live events, and exclusive reporting. Debnil Chowdhury at the research firm IHSMarkit said that if the outage stretches to one to three weeks, gas prices could begin to rise. It's been active since August and, typical of the most potent ransomware gangs, is known to avoid targeting organizations in former Soviet bloc nations. The breakthroughs and innovations that we uncover lead to new ways of thinking, new connections, and new industries. But it says its operations may be back up soon. The ransomware attack on Colonial Pipeline on May 7, 2021, exemplifies the huge challenges the U.S. faces in shoring up its cyber defenses. It says it remains in contact with law enforcement and other federal agencies, including the Department of Energy, which is leading the federal government response. A hot potato: The 5,500-mile Colonial Pipeline has been offline for the last four days, after a ransomware attack compromised its computer network. "I wouldn't be surprised, if this ends up being an outage of that magnitude, if we see 15- to 20-cent rise in gas prices over next week or two," he said. Iranian hackers have also been aggressive in trying to gain access to utilities, factories and oil and gas facilities. While the U.S. hasn't suffered any serious cyberattacks on its critical infrastructure, officials say Russian hackers in particular are known to have infiltrated some crucial sectors, positioning themselves to do damage if armed conflict were to break out. The cyberextortion attempt that's forced the shutdown of a vital U.S. pipeline was carried out by a criminal gang known as DarkSide that cultivates a Robin Hood image of stealing from corporations and giving a cut to charity, the FBI said Monday. The company describes itself as the largest refined products […] WASHINGTON (AP) — A company that operates a major U.S. energy pipeline says it was forced to temporarily halt all pipeline operations following a cybersecurity attack. Colonial Pipeline said on Saturday that it was the victim of a cyberattack involving ransomware and had "proactively" halted all pipeline operations as a result. "This is the largest impact on the energy system in the United States we've seen from a cyberattack, full stop," says Rob Lee, CEO of the critical-infrastructure-focused security firm Dragos. Colonial Pipeline, the largest fuel pipeline in the US, has been hit by a ransomware attack. It was hit by what Colonial called a ransomware attack, in which hackers typically lock up computer systems by encrypting data and paralyzing networks, then demand a large ransom to unscramble it. Cyberextortion attempts in the U.S. have become a death-by-a-thousand-cuts phenomenon in the past year, with attacks forcing delays in cancer treatment at hospitals, interrupting schooling and paralyzing police and city governments. "Ransomware is absolutely out of control and one of the biggest threats we face as a nation," Kennedy said. Biden administration officials worked urgently Monday to ascertain the scope and fallout of a ransomware attack on the Colonial Pipeline, which supplies much of … "The criminals are starting to think about targeting industrial, and in the last seven or eight months we've been seeing a spike in cases," says Lee. Photograph: Luke Sharrett/Bloomberg/Getty Images . On May 8, the Colonial Pipeline Company announced that it had fallen victim to a ransomware attack a day earlier. ", “In the last seven or eight months we’ve been seeing a spike in cases.”. Organizations increasingly connect those more sensitive networks to the internet for efficiency and remote automation, and a spate of vulnerabilities in the VPNs companies use to remotely connect to those networks has left them more exposed. Colonial Pipeline announced Saturday morning that its working to restore operations and hired a third-party cybersecurity firm to investigate the targeted ransomware attack. "Cool, let's go big game hunting.". "I tend to think as sort of a rule of thumb that if a ransomware crew is operating successfully out of Russia, they at very least have the tacit approval of the intelligence apparatus within Russia for strategic benefit," Krebs said. US gas prices could rise as Colonial Pipeline remains closed after Russian ransomware attack George Petras, Janet Loehrke, Stephen J. Beard and … In response, Colonial Pipeline says it shut down parts of the pipeline's operation in an attempt to contain the threat. Hydro Norsk, Hexion, and Momentive were all hit with ransomware in 2019, and security researchers last year discovered Ekans, the first ransomware apparently custom-designed to cripple industrial control systems. "They have some responsibility to deal with this," the president said after delivering remarks on the economy. The pipeline operations include transporting 100 million gallons of fuel daily to meet the needs of consumers across the entire eastern seaboard of the U.S. from Texas to New York, according to the website of the refined products pipeline company. In that earlier pipeline ransomware attack, CISA warned that the hackers had gained access to both the IT systems and the "operational technology" systems of the targeted pipeline firm—the computer network responsible for controlling physical equipment. US President Joe Biden said that a Russia-based group was behind the ransomware attack that forced the shutdown of the largest oil pipeline in the eastern United States. Colonial has provided little concrete detail about when service might be restored. Average ransoms paid in the U.S. jumped nearly threefold to more than $310,000 last year. The operator, Colonial Pipeline, said it had halted systems for its 5,500 miles of pipeline after being hit by a ransomware attack. "Once you can no longer assure positive control over the environment and clear visibility into operations, then you need to shut it down.". Chris Krebs, the former director of Homeland Security's Cybersecurity and Infrastructure Security Agency, told CBS News the tactics of the Colonial attack are indicative of "veteran" cybercriminals. A ransomware attack led one of the nation’s biggest fuel pipeline operators to shut down its entire network on Friday, according to the company and two U.S. officials familiar with the matter. Ransomware Attack Shuts Down Colonial Pipeline An attack shuts down Colonial Pipeline, a major transporter of gasoline along the East Coast. The Department of Transportation issued a regional emergency declaration Sunday, relaxing hours-of-service regulations for drivers carrying gasoline, diesel, jet fuel and other refined petroleum products in 17 states and the District of Columbia. To revist this article, visit My Profile, then View saved stories. / CBS/AP. Ad Choices, The Colonial Pipeline Hack Is a New Extreme for Ransomware. Share this … Use of this site constitutes acceptance of our User Agreement and Privacy Policy and Cookie Statement and Your California Privacy Rights. The WIRED conversation illuminates how technology is changing every aspect of our lives—from culture to business, science to design. "I think we will see a lot more.". The ransomware attack on Colonial Pipeline on May 7, 2021, exemplifies the huge challenges the U.S. faces in shoring up its cyber defenses. In a statement, Colonial Pipeline said the attack took place Friday and also affected some of its information technology systems. © 2021 CBS Interactive Inc. All Rights Reserved. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of Condé Nast. It takes the contents of your device hostage and demands Bitcoin as a, you guessed it, ransom. While there is no evidence the Kremlin benefits financially from ransomware, U.S. officials believe President Vladimir Putin savors the mayhem it wreaks in adversaries' economies. A ransomware attack on Colonial Pipeline disrupted the company's IT systems, though no operational technology or industrial control systems were affected. Krebs added that the escalating ransomware attacks of Russian-based groups have created "a lot of frustration" to U.S. critical infrastructure operators. That means, he argues, that the threat of cyberattacks on a pipeline presents a significant threat to the civilian power grid. A public-private partnership released recommendations last month, but any proposed solution would require buy-in from multiple government agencies and must contend with the fact that many of the most aggressive hacking groups appear to be located in countries like Russia, whose governments rarely prosecute—and often collaborate with—the hackers in their midst. "The operator did the right thing in this case as a response to events," Slowik says. "Segments of our pipeline are being brought back online in a stepwise fashion, in compliance with relevant federal regulations and in close consultation with the Department of Energy," the company said in its statement Monday. It lets them work extra or more flexible hours to make up for any fuel shortage related to the pipeline outage. Tulsa, Oklahoma, this week became the 32nd state or local government in the U.S. to come under ransomware attack, said Brett Callow, a threat analyst with the cybersecurity firm Emsisoft. Colonial Pipeline’s Ransomware Attack Sparks Emergency Declaration. The private company, which controls a significant component of the U.S. energy infrastructure and supplies nearly half of the East Coast’s liquid fuels, was vulnerable to an all-too-common type of cyber attack. "You have a real ability to impact the electric system in a broad way by cutting the supply of natural gas. It delivers roughly 45% of fuel consumed on the East Coast, according to the company. Commerce Secretary Gina Raimondo said Sunday that ransomware attacks are "what businesses now have to worry about" and that she will work "very vigorously" with the Department of Homeland Security to address the problem, calling it a top priority for the administration. "This is creating a lot of frustration, a lot of harm to U.S. critical infrastructure and ultimately that aligns with the strategic objectives of those intelligence services.". The Colonial Pipeline shutdown comes in the midst of an escalating ransomware epidemic: Hackers have digitally crippled and extorted hospitals, hacked law enforcement databases and threatened to publicly out police informants, and paralyzed municipal systems in Baltimore and Atlanta. The Justice Department has a new task force dedicated to countering ransomware attacks. The Pentagon's Defense Logistics Agency is monitoring inventory levels. "We have to work in partnership with business to secure networks to defend ourselves against these attacks.". Ransomware. Colonial transports gasoline, diesel, jet fuel and home heating oil from refineries on the Gulf Coast through pipelines running from Texas to New Jersey. Ed Amoroso, CEO of TAG Cyber, said Colonial was lucky its attacker was at least ostensibly motivated only by profit, not geopolitics. Ransomware hit on major U.S. pipeline is work of criminal gang, How hackers are attacking the COVID-19 supply chain, How to find out if your Facebook info was offered to hackers, What to know about the massive Microsoft Exchange breach, Hack of video security company Verkada exposes footage from 150K cameras. Colonial Pipeline, the largest fuel pipeline in the US, has been hit by a ransomware attack. "There is sufficient inventory on hand for downstream customers so there is no immediate mission impact," Pentagon spokesperson John Kirby told reporters Monday. Here's what to know about the Colonial Pipeline ransomware attack. The average downtime for victims of ransomware attacks is 21 days, according to the firm Coveware, which helps victims respond. The pipeline exists to supply gasoline and other products across the southern and eastern United States. WIRED is where tomorrow is realized. Sometimes stolen data is more valuable to ransomware criminals than the leverage they gain by crippling a network because some victims are loath to see sensitive information of theirs dumped online. Wired may earn a portion of sales from products that are purchased through our site as part of our Affiliate Partnerships with retailers. Updated on: May 10, 2021 / 6:58 PM Copyright © 2021 CBS Interactive Inc. All rights reserved. Colonial Pipeline transports 2.5 million barrels of gas per day between Texas and New Jersey, making up roughly 45 percent of all fuel used on the … The Colonial Pipeline attack, of course, is exponentially worse. "Restoring our network to normal operations is a process that requires the diligent remediation of our systems, and this takes time," the company said in a statement. The company hasn't said what was demanded or who made the demand. The Associated Press contributed to this report. Colonial Pipeline's short public statement says that it has "launched an investigation into the nature and scope of this incident, which is ongoing." Tankers given special permission to carry fuel to counter supply shortages due to shutdown of Colonial Pipeline. This material may not be published, broadcast, rewritten, or redistributed. Pipeline ransomware attack: US invokes emergency transport rules to keep fuel flowing. She said President Biden was briefed on the attack. Merely gaining broad access to the IT network could be cause enough for the company to shut down the pipeline's operation as a safety precaution, says Joe Slowik, a threat intelligence researcher for security firm Gigamon who formerly led the Computer Security and Incident Response Team at the US Department of Energy. "It's an all-hands-on-deck effort right now," Raimondo said, "and we are working closely with the company, state and local officials to make sure that they get back up to normal operations as quickly as possible and there aren't disruptions in supply.". Department has a new task force dedicated to countering ransomware attacks of Russian-based groups have created `` lot... Secretary: economy has `` long way to... forced the shutdown of Colonial ’! The U.S. jumped nearly threefold to more than 100 million gallons a.... Systems for its 5,500 miles of Pipeline after being hit by a ransomware attack Shuts down Colonial Pipeline An Shuts. 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