Yes, basically. The Facebook API was not really designed for this, and it turns out the Facebook API has bugs that make it pretty difficult to actually do. But that's the basic idea, yes.
Cool concept. I got a whole lot of "friends info is restricted" but the concept as a whole is pretty neat. I think there's an opportunity for someone to use the Facebook API as a whole and completely flip upside down the concept of online dating. Privacy concerns throw a wrench in the plans but if you can get around those; you could definitely have something with the use of the social graph..