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In a game I played yesterday ('Nids vs Witchhunters) my opponent was deepstriking Saint Celestine onto the board. The saint scattered into a lava pit. He rolls on the deepstrike mishap table and gets a 1.

Terrible accident! Teleporting troops are lost in the Warp, deep striking jump infantry are shot down with their transport, or some other suitably dramatic event occurs. The
entire unit is destroyed!

My question is: Does this allow Saint Celestine to make a leadership roll and come back with reserve rolls via her special rule OR is the model is removed from play because of the mishap.

The saints special rule: Should Celestine lose her last wound, she makes an unmodified leadership check. If the roll fails, she is removed from play. If she succeeds, she is placed back into reserves and comes in on 4+ next round...

It all comes down to how you interpret the unit being destroyed, there's no official ruling that applies directly to this matter.

My take would be that she wasn't removed from play, she was prevented from entering it, and hence her rule would not apply. In particular, she didn't lose her last wound, or any of her wounds. I say she's good and gone.

That's a sticky situation...

I can see it both ways. There definately seems to be more precedence to follow RAW and say the Saint was lost due to the DS mishap.
Given the way the codex rules are written it seems to imply the Saint is able to return despite being killed etc. This is just one of those cases where the 5th ed makes some crazy situations with a 3e codex. That one may have to be added to the INAT.

Was the lava pit impassable? If not he simply rolls dangerous terrain...