Gasoline futures rise after cyberattacks shut down much of U.S. pipelines

Gasoline futures rise after cyberattacks shut down much of U.S. pipelines

May 11, 2021: -On Monday, Futures for fuel prices rose as much of one of the largest pipelines in the U.S. are closed after a cybersecurity attack.

Gasoline futures increased 1.4% to $2.156 per gallon, which pulls back slightly from their highest levels of the session overnight. Heating oil futures also increased 0.9% to $2.03, also of the highest levels of the session.

Colonial Pipeline said that some of its small lateral lines between terminals and delivery points are online but that its main lines are still closed.

“We are processing to restore service to other laterals and will bring our full system back online when it is safe to do so and in full compliance with the approval of all federal regulations,” the company said.

Colonial Pipeline, which operates the most significant pipeline carrying fuel from the Gulf Coast to the Northeast, “halted all pipeline operations” as a proactive measure following the ransomware cyberattack.

The pipeline is a critical part of the petroleum infrastructure of the U.S, transporting nearly 2.5 million barrels each day of gasoline, diesel fuel, heating oil, and jet fuel.

The pipeline encompasses over 5,500 miles and carries around half of the East Coast’s fuel supply. The system also provides power for airports, which include Atlanta and Baltimore.

On Saturday morning, Joe Biden was briefed on the pipeline closure, and the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency will coordinate with Colonial Pipeline.

The pipeline outage comes as Americans begin to travel again as restrictions are released, and the Covid vaccination rollout accelerates. On Friday, the TSA screened over 1.7 million passengers, the highest in over a year.

“The Colonial outage comes at a critical juncture for the recovering U.S. economy: the start of the summer driving season,” noted ClearView Energy Partners. “A sustained disruption that leads to a significant pump price spike could increase prospects of domestic policy interventions,” the firm further said.

According to AAA, the national average for a gallon of gas stood at $2.962 on Sunday, up 60% from a year ago.

About Us

We provide the insights on leaders who are responsible for taking their organization to new heights, all the while bringing together a group of talented individuals.

Recent Posts

CalFoods Logistics | Making A Difference for those in Need | Steve Linkhart

Steve Linkhart, CEO of CalFoods Logistics, believes that he possesses one quality that sets the tone for CalFoods Logistics. “When we hire a new team member, there are clear responsibilities that need to be accomplished. Once we hire, train, and let that person take the ownership of the job, we allow them to do their job,” he explains. “We are always there to assist of course, but I feel that people get a sense of ownership of their role when they are allowed to do so. Everyone has a role from being CEO to pulling or entering orders, everyone has their unique responsibilities, and the foundation is always customer service, without that, everything after is on shaky ground.” Steve feels that there isn’t a role here too big or too small for anyone to jump in and help. He has unloaded his fair share of trucks and pulled orders over the past 18 months and will be glad to do it again if needed. “Taking care of our team is of the utmost importance to me. We offer a living wage, amazing benefits, and time off for the team to have a good work/life balance.”

Innovana Solutions | Leading with Determination & Commitment | Mitch McDermid

When Mitch McDermid launched Innovana, he had an evident vision of what he wanted the company to look like and what it could offer that was different from existing IT services and consulting firms. There was a clear need for a cloud-based services and business automation solutions provider that would address the needs of SMBs both from a pricing and service standpoint in Canada. Mitch and his team have been laser-focused on serving that niche.

Arete Wealth | Offering Excellence & Virtue | Joshua D. Rogers

A forward thinker, Joshua D. Rogers is always focused on the future. His vision was to introduce a smart, sophisticated approach to investing and wealth building. Since founding Arete Wealth in 2007, he’s done just that. Joshua’s brought an endowment-style of asset allocation to a broader audience of investors. From hedge funds to bespoke investments, his dream was to bring a new perspective to investing. Arete Wealth is the embodiment of that vision: a dynamic, energetic, comprehensive wealth management firm focused on the future.

OnView Integrated Solutions | The Guardian Angel | Joel Anaya

Joel Anaya, CEO of OnView Integrated Solutions, has been instrumental in building the company from the ground up. His innovation and vision transformed the way the company has scaled its business. OnView is a security provider bringing proactive solutions specifically designed to deter suspicious behavior in real-time before the crime occurs.

Western Development Museum | Creating Health, Happiness & Community Cohesion | Joan Kanigan

Joan Kanigan, CEO of the Western Development Museum (WDM), took an extraordinarily unique yet bold step as a leader in 2021. She initiated a 360o Performance Assessment to better understand how she was performing and where she needed to improve—all through an honest and critical feedback system to know where she was standing as a leader and a manager. “My intent with this performance review was to ensure I am serving the WDM and those I am responsible for to the best of my abilities,” she says. “The things that my staff felt I was doing most effectively include listening to them at all levels, using staff input to make decisions; making people comfortable to bring issues, opinions, and questions forward; valuing others’ thoughts and opinions; and identifying needs and opportunities for organizational improvement.”

Jacobs & Cushman San Diego Food Bank | San Diego County’s Leading Hunger-Relief Organization | James A. Floros

One of the things that set James A. Floros, President & CEO, Jacobs & Cushman San Diego Food Bank aside from other nonprofit CEOs is that he has always run a nonprofit like a business. “The efficiency and effectiveness that is required in the for-profit sector is even more important in the nonprofit sector because you are doing more with less, with less staff and less resources,” he explains. “Three to four weeks into the pandemic, I realized how well our organization was doing and I realized it was because of the work we had done in building an organization based on excellence.” They have an outstanding relationship with their donors, with media, elected officials, have top-notch financials, with 94 cents of every dollar going directly to our programs and services, and an amazing culture among the staff and volunteers.