It's the Sieve of Eratosthenes, which is a fairly classic algorithm.
The sieve of Eratosthenes goes like this:
1) Mark 2 as prime. Let it be n.
2) Mark all numbers of the form i times n as composite, where i is a positive integer. (We can do this by stepping over multiples of n. No multiplication needs to take place.
3) The next unmarked number is prime. Let it be n. Goto 2
Notice how this alogorithm does not use division. Division in modern CPUs is slow.
The algorithm presented uses the `mod` operator, which does division. This algorithm is equivalent to the Trial Division Algorithm. Instead of "deleting" multiples of n as composite, this algorithm tests all numbers greater than n for divisibilty by n, and then only does it "delete" the number.
For a more detailed explanation, see http://www.cs.hmc.edu/~oneill/papers/Sieve-JFP.pdf
[1] https://en.wikipedia.org/wiki/Sieve_of_Eratosthenes#Trial_di...