I don't like the bio engineering gig. It is much to easy to create a life form that can get out of hand - no matter how well engineered or intended. I think of Brazil and Africanized bees. No bio engineering. Find the right algae, the one, or ones, that made all that oil millions of years ago and go with that. Ethenol, fertilizer or dry boiler fuel, just like "cow patties", will keep all the dead cells well in check.