You realize, of course, that if this works it's curtains for the oil companies, Hugo Chavez and the sheiks too?

Nonsense, no matter how cheap you can make the manufacturing oil from alge process it will never be as cheap as just finding in in the ground and pulling it out.

Even if that was true (if so, why were so many stripper wells shut down before prices shot up recently?), it still wouldn't prevent the producers' income from going down the crapper.