if you want to use a new terrain algorithm with panda you should better try using geomippmapping, it’s less cpu-intensive and it’s easyer to use with paged terrains (which is pretty good for “endless huge worlds”.
anyway . great to see that people are workign on it 
=)
geomipmapping and my geomipmapping optimized multitexturing should do a fine job with panda =)
(up to 2147483648 texture layers can be blended into each other 
… i’ll write a tech-doc about it,soon since there are quite a few people interested in it =)