A NORTH-EAST firm could still get its wish to scrap at least part of a rusting fleet of so-called "ghost ships".

The US Maritime Administration (Marad) is to review its £11m deal with Hartlepool firm Able to dismantle 13 former US Navy ships after suspending its own ship scrapping programme.

But the senior official in charge of the agency has admitted that, while it could now seek the return of the four ships already moored at Able's base, at Graythorp, Teesside, his preference would still be to allow them to be scrapped there.

Sean Connaughton, the maritime administrator, also revealed that although Able had signed a contract, the company did not own the ships concerned until the point at which they had been dismantled.

Referring generally to the ships, he said: "This is a situation that has to be addressed as quickly as practicable."

Since the £11m deal was struck, the value of scrap metal worldwide has soared.

US firms have also expressed their desire to carry out the necessary work.

Last October, Hartlepool councillors rejected Able's bid to scrap the ships, throwing out revised planning applications for its breakers' yard, that are necessary in order for it to carry out the work.

Able suggested it would appeal, but is yet to do so. It is understood it has until May 13 to lodge an appeal with the planning inspectorate.

Hartlepool councillor Stephen Allison, who represents the UK Independence Party, said the suggestion that the US authorities could recall the ships had come as a surprise to many in the town.

He said: "I would be quite happy to see them go back to America. It would be a positive step. This is US waste, so why should we be dealing with it here?"

Mike Childs, a spokesman for Friends of the Earth, said: "The Americans are merrily breaking up all of their ships over there at the moment.

"The idea that they did not have the skills or the shipyards to deal with this issue has been shown to be a lie."

A spokesman for Able confirmed that the ships which made up the contract remained the property of Marad as things stood.

But he could shed no further light on the current situation, other than stating the firm remained committed to completing the work.