The wormhole drive, if its anything like a real wormhole, can be considered thus: Take a sheet of paper, mark on it two points far apart, these are the points the ship wants to get to, but it would take them a long time to propel themselves through all that space. Now take a short piece of string, this is the wormhole. Fold the paper so that the two points are close together and connect them with the string. Now the ship can propel itself through the short wormhole without having to cross all that space. The 'compression' referred to is basically saying a wormhole allows the ship to compress a long distance into a short trip, so yes, although the ship passes through the wormhole, it doesn't pass through the intervening space and does involve folding space.
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nonne amicus certus in re incerta cernitur?
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