Robert Queen decided to take the Queen's Gambit to China in his attempt to prevent the Undertaking. When Malcolm Merlyn learned of this from Frank Chen, he sabotaged the ship using C2 explosives. Malcolm knew that the Queen's Gambit would be heading into a storm and used the weather as a cover to hide the true cause of the ship's fate.
The Gambit was secretly salvaged in 2009 by Moira Queen, who discovered that it was sabotaged. She hid the remains in a warehouse using $2.6 million taken from Queen Consolidated, under the name "Tempest". Walter Steele, whilst investigating the money transaction, later found out where it was hidden and put in storage. Malcolm Merlyn later ordered the remains to be destroyed.
DC's Legends of Tomorrow
- In the episode "", Tommy Merlyn mentions that (by his rough estimate) Oliver hasn’t had sex in 1,839 days since he went missing. 1,839 days is equal to 5 years, 1 week, and 6 days. Since most Arrow episodes take place in real time, we can assume this episode takes place on October 10, 2012 (the day it aired), which means the Gambit probably sank on or around September 27, 2007.