NEW LEVEL AND JOINING US NOW IS
BRANDON DANIELS PRESIDENT OF
GLOBAL MARKETS FOR EXIGIR A
RISK MANAGEMENT CONSULTING
FIRM. THANK YOU SO MUCH FOR
JOINING US SO WHAT HAPPENED
HERE HOW DID THESE HACKERS PULL
THIS OFF.
>> WELL SO MOST OF THESE HACKS
START IN A IN A
SIMILAR PATH. THEY START IN THE
BUSINESS
OPERATIONS USUALLY INSIDE OF
SOME OF THESE LARGE UTILITIES
OR LARGE ENERGY
PRODUCTION FACILITIES,
INDUSTRIAL CONTROL CONTROL
SYSTEMS WHICH ARE THE HEART.
THE BRAIN OF THE FUEL SUPPLY
LINES ARE WELL PROTESTS
THAT AND SO THE WAY THAT THESE
HACKERS GAIN ACCESS TO THE
SYSTEMS. IT'S STARTING TO LOOK
AT THE
PERIPHERAL NETWORKS. SO THEY
TRY TO GET INTO THE BUSINESS
OPERATIONS SYSTEMS THE I TEAM
MANAGEMENT SYSTEMS, THE
ACCOUNTING SYSTEMS LOOKING FOR
PASSWORDS LOOKING FOR THINGS
THAT THEY
CAN COLLECT THAT THEN GIVE THEM
ACCESS TO THE HIGHER PRIZE
ACTIVITY WHICH IS THE ABILITY
TO WALK UP AND
DISRUPT SYSTEMS AND THEN CREATE
SOMETHING WORTH RAN SOMETHING.
AND THAT'S THAT'S HOW
THIS HAPPENED. AND I THINK THE
SECOND
PIECE IS YOU'LL ALSO SEE THAT
THE INDUSTRIAL CONTROL SYSTEMS
WERE ACTUALLY
MAINTAINED RIGHT THEY MAINTAIN
THE SANCTITY OF THOSE SYSTEMS.
THEY WERE ABLE TO THWART THIS
INPUT BUT NOT EVERYONE IS SO
LUCKY.
>> BUT BRENDAN IS THERE
SOMETHING PARTICULAR ABOUT
COLONIAL THAT MAYBE MADE
IT MOST DOUBLE OR OTHER
COMPANIES AND PIPELINES EXPOSED
IN THE SAME WAY.
>> THERE ARE COMPANIES ACROSS
OUR INFRASTRUCTURE SURE THAT
HAVE SIMILAR VULNERABILITIES
THE ISSUE HERE IS THE CYBER
STANDARDS THAT ARE BOTH
POWER SYSTEM IS SUBJECT TO THE
CYBER STANDARDS THAT
OUR FUEL SUPPLY LINES ARE
SUBJECT TO
OR NOT CONSISTENTLY THEN SPREAD
TO ALL OF THE SUB TIER
COMPANIES ALL OF
THEIR SUPPLIERS. ALL OF THE
PEOPLE THAT PROVIDE THEM
A QUICK AND IN SERVICES AND SO
YOU HAVE THESE KINDS OF
VULNERABILITIES THAT EXIST
ACROSS
OUR INFRASTRUCTURE. THE SECOND
THING IS WHEN IT COMES TO THESE
INDUSTRIAL CONTROL SYSTEMS THE
KINDS OF SYSTEMS THAT THEY TOOK
OFF LINE TO TRY AND AND CLEARLY
UNDERSTOOD THAT THEY HAD
TO PROTECT THE ISSUE IS THAT
VERY OFTEN THERE'S
INTERCONNECTIVITY BETWEEN THOSE
SYSTEMS AND THE BUSINESS
OPERATIONS AND THERE'S 2
STANDARDS OF SIDE
HYGIENE SO YOU CAN KIND OF HAVE
THIS INSIDIOUS INFECTION THAT
SPREADS TO THE REST OF THE BODY
AND CREATES A BIGGER PROBLEM
AND SO YOU'VE GOT SMALLER
PIPELINE COMPANIES.
ENERGY COMPANIES ALONG OUR
ELECTRICAL GRID A SMALLER
INFRASTRUCTURE COMPANIES
IN GENERAL. THAT HAVE A MORE
DIFFICULT TIME SECURING THE
SUPPLY LINES AND THEN YOU'VE
GOT YOU KNOW FEDERAL GOVERNMENT
ENTITIES LIKE
THAT HELPED THOSE COMPANIES TO
IMPROVE
THEIR SECURE TO TO ACHIEVE
BETTER STANDARDS BUT THOSE
STANDARDS ARE STILL NOT
CONSISTENT. AND THAT'S WHAT
LEADS TO THE CHALLENGE AND
WE'RE SORT OF ONLY AS GOOD AS
OUR WEAKEST LINK TO USE THE
OLD ADAGE.
>> BECAUSE WE'RE ALREADY SEEING
SOME OIL AND GAS
PRICES THIS IS BECAUSE OF THE
SUPPLY SHORTAGES RIGHT SO DO
YOU THINK THIS WILL AFFECT THE
PRICES DURING THE SUMMER AS
WELL.
>> THAT'S A GREAT AND I WOULD
SAY THAT
THE OIL MARKETS, THE OIL AND
GAS MARKETS ARE SPECULATIVE AND
WE SAW THAT DURING
COVID RIGHT. WE
ESSENTIALLY THE OIL AND GAS
MARKETS DROP PRECIPITOUSLY BUT
THEN FALL TO
A HOMEOSTASIS OR A PLATEAU AT A
CERTAIN POINT WHERE YOU KNOW
OIL JUST COULDN'T GO
ANY LOWER THEN AS THE AS THE
DEMAND STARTED TO PEEK OR
STARTED TO LOOK BETTER TOWARDS
THE SUMMER YOU SAW YOU KNOW OIL
AND GAS PRICES RISE, YOU SAW
FUEL PRICES RISE, YOU SAW
COMPANY START TO DO A LITTLE
BIT BETTER AS THEY SAW THE PUCK
POTENTIAL TO OFFLOAD SOME OF
THOSE MASSIVE. YOU KNOW
OVERRUNS THAT THEY HAD IN TERMS
OF STORAGE SO RIGHT NOW I THINK
WE
WILL FEEL AN IMMINENT CHANGE IN
OIL AND GAS PRICES I THINK
WE'LL FEEL IT AT THE PUMP I
THINK LOGISTICS COMPANIES WILL
FEEL
IT IN. THEIR ERIN BUT I THINK
IT'S GOING TO BE A
TEMPORARY BLIP UNLESS THERE IS
SOMETHING IN THOSE INDUSTRIAL
CONTROL SYSTEMS WHICH DRAGS
THIS OUT BEYOND
THIS WEEK.
>> IF OK AND THE FBI IS
POINTING TO RUSSIAN GROUP DARK
SIGHT DIDN'T HEAR ANYTHING FROM
THESE HACKERS SO FAR.
>> SO THEY HAVE CONFIRMED
THAT THERE ESSENTIALLY LEAKS
AND ATTRIBUTION POINTS
IN THE DARK WEB THAT DEW POINT
A DARK SIDE THAT CONFIRM IT WAS
DARK SIDE. THE ISSUE THAT WE'RE
SEEING
THE REVERBERATING EFFECT OF OF
AN ATTACK THAT WE
CAN'T QUARANTINE CAN STILL
DISRUPT MAJOR
PARTS OF A MAJOR PARTS OF THE
INFRASTRUCTURE. SO EVEN IF
THESE ARE JUST 4 PROFIT PIRATES
AND THEY'RE NOT TRYING
TO CREATE SYSTEMIC PROBLEMS
INSIDE OR INFRASTRUCTURE.
IF YOU CAN'T IF YOU CAN'T
QUARANTINE THE RISK OF THE
ATTACK IT'S GOING TO HAVE THAT