The Sierra Club of Canada says bp’s exit from the Bay du Nord project should serve as “a massive warning” against public investment in the project.

The environmental group, an outspoke critic of the project, says the federal government has already agreed to subsidize the project to the tune of $1 billion, and bp’s exit shows that the project is “not viable.”

The Sierra Club says while Bay du Nord could come online by 2031, an acceleration in the adoption of renewable energy due to the current energy crisis, could mean no new oil and gas projects would be needed according to the International Energy Agency.

The Sierra Club’s Conor Curtis says leading energy economist Fatih Birol of the IEA has said that the UK should largely forego oil and gas expansion in the North Sea – a project that was “far more viable than Bay du Nord” according to the Sierra Club.