I compiled it OK with Quartus II Web Edition 11.0:
Total combinational functions 25 / 5,136 ( < 1 % ) Flow Status Successful - Sat Aug 13 23:26:26 2011
Dedicated logic registers 14 / 5,136 ( < 1 % ) Quartus II Version 11.0 Build 157 04/27/2011 SJ Web Edition
Revision Name Led_Blink
Top-level Entity Name Led_Blink
Family Cyclone III
Total logic elements 25 / 5,136 ( < 1 % )
Total registers 14
Total pins 2 / 183 ( 1 % )
Total virtual pins 0
Total memory bits 0 / 423,936 ( 0 % )
Embedded Multiplier 9-bit elements 0 / 46 ( 0 % )
Total PLLs 1 / 2 ( 50 % )
Device EP3C5F256C6
Timing Models Final