It is a new-ish mode in blender which enables the user to sculpt and shape an object with enough vertices into whatever shape they want. If you go in to sculpt mode, and into the edit buttons tab near the bottom of the screen, you'll find a tab that says Sculpt on it. This has options to change it to making the mesh grow in certain spots, or to make it indent. There are also other things like smooth, flatten, Inflate, etc. And indenting with textures to make certain marks on the mesh. Experiment with it!
http://www.becausewecan.org/node/258
wiki.blender.org/index.php/Manual/SculptMode
www.blender.org/development/release-logs/blender-243/sculpt-mode/
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