it'll make wine.. but I'd use fresh, blended grapes and more water and a better yeast.
I'd also use a 5 gallon bucket and a baby nipple to regulate the gas/air flow.. but that's just me
I also don't like sweet wines.. so I use less sugar/volume.
EDIT: No, that's not true.. it's only when you distill a homemade brew that you have to worry about messing it up and going blind or that sort of thing.. so just don't put it to heat.. to purify it do two things.. first, after it is good and brewed (about a month.. and stir/shake it every day for the first week, then once a week after that) put Pectin (clear gelitin.. Pectin is the brand name.. you can get it at your local grocer) put the Pectin in it and let it settle.. takes a few days... then siphon/skim off the top and run it threw a filter.. if you are strapped for filters a brand new pair of fine mesh panty hoes will work.. then bottle and enjoy.
absolutely no chance of you drinking rubbing alcohol from it this way... like I said.. just don't try and distill it.. if you want to make it stronger and more pure then 'Jack' it.. to do that just put it in a deep freezer in a bottle that won't break.. the water and impurities will freeze and leave a stronger alcoholic brew behind that you can just poor off.
a normal fridge freezer normally isn't quite cold enough to jack a wine.