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A German company named Alphakat is developing a similat technology.
On their website they claim to have some pilot plants already in production:
http://www.alphakat.de/temp/company.php

Ignoring political shenanigans for a moment, scale is less important than production cost per barrel. Of course scale may help in lowering that price per barrel, but if you can produce at competitive prices with a small company, why not?

There is a German engineering company that develops another biofuel technology, and they target relatively small plant sizes (capacity for a few thousand tons per year): http://www.alphakat.de/temp/company.php

This said, going for a niche market at first, while your production costs are still high, strikes me as a clever move. To some extent Tesla is doing the same:
First the expensive sports cars, later on more everyday vehicles.

IIRC ethanol can be blended into regular fuel up to 15% and be used in cars already on the road in the USA, while an 85% ethanol/15% gasoline (E85) can be used in "flex-fuel" vehicles that can be purchased from most manufacturers on request. It's only a stopgap, because ethanol is currently expensive to produce. This may change with biotech to improve fermentation, as well as a shift in US trade policy to facilitate the import of sugar cane, a much better starting material for fermentation (or just import the ethanol!)

Still, I believe the biggest limitation is, even assuming moderate improvements in conservation and efficiency, there isn't enough land available to produce the corn/beets/sugarcane needed. Plus, the biggest consumers are commercial (i.e., diesel) vehicles -- we might be better off investing in carbon-neutral catalytic solutions like Changing World Technologies or AlphaKat, which can use a wide variety of biomass as input and produce diesel fuel.

Despite everything certain safety requirements are to be placed against the prOn the one hand this is the requirements to the tightness of the plant, which is ensured by a permanent slight negative pressure connected with a safety disconnection.

Obviously machine translated. Interesting stuff. Really just recycling oil (Plastic,PVC,Tires) into diesel. I like it, kills two birds(cats?) with one stone. Landfill Reduction, Diesel Production.

Never fly here in the US unless you cut in Dick Cheney.

...and I quote "Despite everything certain safety requirements are to be placed against the prOn the one hand this is the requirements to the tightness of the plant, which is ensured by a permanent slight negative pressure connected with a safety disconnection. On the other hand this requirements are to the tightness of supply and removal lines, which dimension, in the case of a disturbance by one sufficiently catch pan are secured, so that no materials can arrive into the soil. "

http://www.alphakat.de/Safety/safety.html

by Beryl
Look like a tabloid? It is.
http://www.bildblog.de/wp-content/koch1.jpg
http://www.bildblog.de/wp-content/katzenbenzin2.jp g
(images provided by Bild Blog, explained lower)

And the news is 100% fake with all involved now sueing BILD.

http://bildblog.de/
Scroll down and read "Von Katzen und dummen Menschen" (Of Kats and Dumb People)
(You'll need to learn/know German or use Babelfish)

The blogers are two journalists that investigate BILD.

BILD reported bullshit and everyone else just sucks it up as pathetic the fucktards* they are, the dude even has on webpage that's it completely false and he's suing them for all the shit they're causing from years-old research that has nothing to do wiith what he said.

*Caring only for the shock-effect and not caring about reality, or any annoying thing like that.

http://www.alphakat.de/index.html

""WICHTIGE MITTEILUNG !

Die im Moment in den deutschen Medien verbreiteten Meldungen Dr. Christian Koch würde Katzenkadaver zu Diesel verarbeiten sind absolut falsch und entbehren jeden Bezug zur Realität.
Juristische Maßnahmen gegen diese Behauptungen wurden bereits unternommen."

"Important Notice!

The news currently being spread by certain a German News Agency concerning me using cat cadavers to produce Diesel is utterly wrong and have nothing to do with reality. I have taken legal steps against these accusations."

BILD also completely made up the "cited animal rights activists", and the people in question are enraged - and say they don't care how cadavers are treated as the only care about living animals. Duh.

Bild's also the paper that has titles like MANNER SIND JETZT PORTU-GEIL!!! (Men are now Portu-HORNY!!!" and are plastered with tits every day but Sunday, where they play "innocent Christian"... If you trust them, or even CNN who are about as neutral as Condoleeza Rice, as your only news source...

We do have human shit powered power plants, though...

There's an offical statement about this story on http://www.alphakat.de/.

Statement translated to English:
The messages Dr. Christian cook spread for the moment in the German media Katzenkadaver would convert to Diesel is absolutely wrong and would miss each purchase to the reality. Legal measures against these statements were already undertaken.

Taken (and translated) from http://alphakat.de/ :

"IMPORTANT INFORMATION

The claim spreaded by German media that Dr. Christian Koch is producing Diesel fuel from dead cats is entirely wrong and are entirey unrealistic.

Legal steps have already been taken to counter these claims."

This is ridiculous... Koch's firm simply introduced methods to produce Diesel fuel from waste oil, plastic waste, old plants, sewage sludge, ordinary household garbage and cadavers (which *surprise* could also be run-over cats!).

Tsss... tabloids...

That's just a hoax of our famous 'newspaper' called Bild. If you can read German, visit the Bildblog, a blog dedicated to debunk all of Bilds hoaxes. In the meantime, Dr. Christian Koch put a note on his website, declining that he is using dead cats to produce fuel.

The Alphakat website states (in german) that the messages distributed by the media about Dr. Christian Koch (Koch is german for 'cook') processing dead cats into diesel are false and unfounded. And that legal action is being taken against those who made these allegations...

This was a story by BILD, the world's largest tabloid newspaper. It is nicely rebuked at Bildblog.de which is a meta-blog following BILD and exposing it's errors, bias and lies. The company ("Alphakat") simply develops a method to process waste as a kind of Bio-Diesel.