JAMES Bond might as well hang up his Walther PPK and go into retirement.

There's a new breed of secret agent on the big screen, who uses guile, intelligence and brute force to outwit his prey rather than snazzy gadgets, and his name is Jason Bourne (Matt Damon).

Or at least, that's the moniker this former CIA operative has adopted, ever since he lost his memory in the 2002 action-thriller The Bourne Identity.

This superbly crafted sequel, again based on the novel by Robert Ludlum, continues the story two years hence.

Jason and his girlfriend Marie (Franka Potente) have maintained their anonymous, underground existence on a tropical getaway but splintered memories of the past continue to haunt the amnesiac agent. Nightmarish flashbacks to a bungled mission, part of the top secret Treadstone Project, torment Jason, fuelling his sense of unease and paranoia.

When a rival assassin turns up unannounced on the island idyll, Jason and Marie finds themselves embroiled in a new global game of cat-and-mouse in which the stakes are their very lives.

Jason secretly boards a trawler ship and heads for Europe where he learns that he is a wanted man.

Two CIA agents were recently murdered in a botched stakeout led by Agent Pamela Landy (Joan Allen) and Jason's fingerprints were found at the scene, presumably left by the shooter.

Of course, Jason has been framed for the crime and he sets out to clear his name and to unmask the real culprit.

Manoeuvring through the choppy waters of international espionage, Bourne crosses paths with old adversaries including his treacherous former boss Ward Abbott (Brian Cox) and techno-genius assistant Nicky (Julia Stiles).

Honouring his promise of retaliation against the agency, Jason follows a trail of evidence to discover the shady truth behind his nightmares, leading to a shootout on the streets of Moscow.

The Bourne Supremacy is a smart, intelligent and gripping spy thriller that builds beautifully on the tension of the first film. Damon delivers a compelling lead performance as the reformed killer held hostage by his past.

You get a very real sense of the anguish simmering beneath Jason's icy cool exterior and the actor copes admirably with the physical exertions of the role, which leave his hero battered, bloody and bruised by the adrenaline-pumping finale.

Cox, Allen and co bring a tantalising ambiguity to their supporting roles so you can never be sure of their characters' true motives.

Director Paul Greengrass' twitchy, handheld style invests the picture with an edgy, nervous quality, reflecting Jason's sense of unease as he tries to outwit his various foes. The camerawork is especially effective during the breathtaking car chases which bookend the film.

With his high-octane blend of intrigue, suspense and action, The Bourne Supremacy makes recent Bond films look like pedestrian walks in the park.

See it at UCI, Odeon