THE firm at the centre of the ghost ships controversy has been boosted by a report that warns of a huge worldwide surge in obsolete vessels needing to be scrapped.

Able UK is said to be among only a handful of firms with green recycling facilities capable of doing the work, according to the European Parliament commissioned report.

The report, which examines the impact of legislation phasing out single-hulled tankers, says up to 2,200 oil tankers will require scrapping by 2010.

But it states that there is not nearly enough capacity to dispose of the vessels safely.

Able UK, of Hartlepool, is listed in an inventory of green recycling facilities that could be operational within a limited time period.

Peter Stephenson, chief executive of Able UK, said: "This recognises the scale of the challenge posed by the growing numbers of vessels being scrapped and the urgent need to develop facilities which can recycle them under acceptable environmental standards.

"The report also vindicates the fact that the kind of world-class facility we have been developing is the right way forward and should be supported by all those with a genuine interest in protecting the environment."

Environmental group Greenpeace said the report showed immediate action was needed to make sure thousands of vessels were not broken up on beaches in Developing World countries - a method which accounts for more than 90 per cent of all worldwide ship disposal.

The group, however, refused to endorse the claims of Able, which has faced opposition after winning a contract to scrap 13 rusting former US Navy vessels.

Spokesman Mark Strutt said: "We accept that we urgently need good ship breaking facilities that are fully licensed and controlled.

"Whether Able is capable of providing the sort of facilities required we would refrain from making a judgement on at least until a full environment impact assessment is carried out.

"Whatever the conclusion, we certainly would not support ships coming in from countries which are entirely able to deal with their own waste like the US."

Able UK has yet to win permission to start work on four of the US Navy fleet it has moored in its Graythorp scrap yard, while a further nine are being held in the US, subject to legal wrangling.

Read more about the Ghost Ships campaign here.