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The way our technology works is we feed biomass to algae in a fermentation process. So it works in the dark, using big steel tanks.
I'm picturing a brewery.
Yes, but 100 times bigger than that.
...
Where does your algae come from?
These are unicellular organisms. We spent years screening thousands of strains of algae to find the one that is most efficient at producing oil. There are a lot of sources for these algae, including some companies that sell the strains. Anyone could find these strains, but it's pretty technical to [do what we're doing].
http://www.smartplanet.com/people/blog/pure-genius/solazyme-founder-harrison-dillon-why-the-us-navy-wants-our-green-jet-fuel/4244/

Dr. Stephen R. Humphrey, Director,
School of Natural Resources and Environment,
Box 116455, 103 Black Hall, University of Florida
Gainesville, FL  32611-6455  USA
Tel. 352-392-9230, Fax 352-392-9748
http://snre.ufl.edu<http://snre.ufl.edu/>