If the edges are not loose where it may have been cut, you could try a vacuum so threads aren't pulled out.

I wouldn't hesitate to use on the inside of a boat, or even on the keel - but might be concerned about using it on a deck or some other area to be clear finished/varnished. It might still contain small pieces of wood dust (and maybe very fine slivers of wood) - so if you will be filling, fairing and painting, it won't be a problem. And, we are talking dust here - not actual "dirt" where someone has walked on the fabric!