This paper describes the effect of important reaction variables on the production of biodiesel from nonedible microalgae lipids, using the acid-catalysed in situ transesterification process. The specific gravity of the biodiesel product was used to monitor the conversion progress. The results indicate that increasing the reacting alcohol volume and the temperature lead to improved fatty acid methyl ester (FAME) conversions. With the exception of in situ transesterification carried out at room temperature (23 degrees C), the equilibrium FAME conversions appear to approach asymptotic limits for reaction times greater than 8 h for all temperatures investigated. Stirring the reaction vessel had a significant positive influence on the rate of biodiesel formation. Increasing the moisture content of the microalgae biomass had a strong negative influence on the equilibrium FAME yield, and in situ transesterification was inhibited when the biomass water content was greater than 115% w/w (based on oil weight). (C) 2009 Elsevier Ltd. All rights reserved.