HONOLULU -- A federal judge Thursday lifted the last legal roadblock to inter-island ferry service. Hawaii Superferry said it can now close its financing and prepare to launch.

The state and federal government have been so supportive about inter-island ferry service, they already built a terminal at Honolulu Harbor.

Some environmentalists see the Hawaii Superferry as a super menace, capable of bringing Honolulu traffic to neighbor islands and neighbor island pests to Honolulu.

However, federal Judge Helen Gillmor dismissed a Sierra Club lawsuit demanding an environmental impact statement for the ferry.

"We think she's wrong. We think that the citizens of Hawaii are entitled to environmental review in this instance,"

"With the favorable ruling in both state and federal court… allows us to move forward and close our financing and hopefully we'll get that done in the next few weeks," said John Garibaldi, of Hawaii Superferry.

The unnamed vessel is 40 percent complete at a shipyard in Mobile, Ala. Delivery is planned for late next year with service by 2007.

The Sierra Club is expected to appeal Thursday's ruling, pointing out that three neighbor island county councils wanted the environmental impact statement. The company pledges it will reassure critics.

"We'll be working with communities we'll be getting input. That's our whole focus," Garibaldi said.