The federal court cleared the way for the former Canadian Navy destroyer to be sunk in March.
The Save Halkett Bay Marine Park Society opposed the sinking arguing the ship had a toxic chemical in the anti-fouling paint on the hull.
But Justice Paul Crampton ruled in March the Environment Canada permit issued to sink the ship was not "unreasonable" because the anti-fouling paint was in a "non-active state" because of its age, and the Canadian guidelines on the clean-up of the ship were consistent with international standards.
The Artificial Reef Society of B.C. has been working since 2008 to sink the former Canadian warship in Halkett Bay Marine Park in Howe Sound to create the eighth artificial reef in B.C. but until today its efforts had been successfully blocked by environmental groups.
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