I am looking at Exercise 84 on Kollár's Exercises in the birational geometry of algebraic varieties about non-algebraic flops:
Let $X \subset \mathbb{P}^4$ be a general smooth quintic hypersurface. It is know that for every $d \geq 1$, $X$ contains a smooth rational curve $\mathbb{P}^1 \cong C_{d} \subset X$ of degree $d$ with normal bundle $\mathcal{O}(-1)^{\oplus 2}$. Prove that the flop of $C_{d}$ exists if we work with compact complex manifolds. Denote the flop by $\phi_{d}: X \dashrightarrow X_{d}$ and let $H_d$ be the image of the hyperplane class. Compute the self intersection $(H_{d})^{3}$ and conclude that the $X_{d}$ are not homeomorphic to each other and not projective.
If I'm correct the intersection number $(H_{d})^{3} = 5 - 5d^3$ and the picard number $\rho(X_{d}) = 1$ so $X_{d}$ is not projective. However, I think the variety $X_{d}$ is constructed by first blowing up the curve $C_d$ with exceptional divisor $E \cong \mathbb{P}^1 \times \mathbb{P}^1$, and then contract the other negative extremal ray by the minimal model program. Doesn't this construction always give projective varieties? I feel like I messed up with something in this contradiction.
Any help is appreciated!
After reading some analytic theory on contractions, it turns out the point here is that the other fibre of the exceptional divisor $E$ is not extremal, so one cannot use the Minimal Model Program here. Instead one should use the following analytic contraction theorem of Nakano (Main Theorem, On the Inverse of Monoidal Transformation, Shigeo Nakano):
One can verify condition (1) by computing the normal bundle of $S$, and condition (2) from the fact that $X$ is smooth Calabi-Yau variety.