14 DAY TRIAL // Tokyo (Reuters) stated that “Crude prices rose on Monday after a major cyberattack forced the shutdown of critical fuel supply pipelines in the United States and highlighted the fragility of its oil infrastructure.”
Brent crude was up 76 cents, or 1.1%, at $69.04 a barrel at 0039 GMT, after rising l.5% last week. After gaining more than 2% last week, U.S. West Texas Intermediate futures gained 70 cents, or 1.1%, to $65.60 a barrel.
The White House is currently working with Colonial Pipeline to help it recover from the cyberattack that forced the largest U.S. fuel pipeline operator to shut down a network supplying populated Eastern states, signaling the gravity of the situation.
Colonial's network ensures about half of the fuel supply on the U.S. East Coast, carrying 2.5 million barrels of gasoline and other fuels every day.
The identity of the attackers is still unknown
Although the attack is not claimed, sources told Reuters that they could be a skilled cybercriminal organization.
According to Colonial, the company's main fuel lines are still down, but some smaller lines between terminals and distribution points are now operational. They have no estimation on when the network would be back up to full operational capacity.
Andrew Lipow, president of Lipow Oil Associates told Reuters that "The major takeaway is the bad guys are very adept at finding new ways to penetrate infrastructure,"
He also pointed out that the "Infrastructure has not developed defenses that can offset all the different ways that malware can infect one's system."
The price of gasoline in the United States increased by 2%
A prolonged suspension of the line, which one analyst referred to as the "jugular of infrastructure" in the United States, can lead to a gas stations prices increase ahead of the peak summer driving season, posing a risk to customers and the economy in the United States.
Gasoline prices in the United States increased by 2%, while heating oil prices increased by more than 1%.
Following the attack, American lawmakers have called for stronger security measures to secure vital energy resources in the United States from cyberattacks.