Symlinking worked great.
So, for thoose of you who dont know how. Here is a workaround to get Panda to work on Snow Leopard.
Download the Cg installation (Cg-2.2.0006) from nvidia. Rightclick on the installer and select show package contents. In Contents->Resources->Installer Items there is a file: NVIDIA_Cg.tgz. Copy this to your desktop. Doubleclick on it to unpack.
Now, copy the Cg.Framework in NVIDIA_Cg->Library->Frameworks to /Libraray/Frameworks.
Open a terminal and run this.
sudo ln -s /usr/X11/lib/libOSMesa.7.dylib /usr/X11/lib/libOSMesa.4.dylib
Now Panda should work.