Geometry clipmapping

This is what I've been trying to do for some time now but could not generate the grid's correctly.

I've always known that altering terrain on the fly is just not the answer on today's hardware so I made several threads about a clipmap process but did not know how to do it.

Here is a paper about the process:
http://research.microsoft.com/~hoppe/gpugcm.pdf

This is most likely what FSX uses along with it's restrictive quadtree. Would any of you terrain gurus like to attempt to implement this algorithm inside of an engine? I would really like to attempt this and perhaps also attempt the mega-texture system that has become so popular by Carmack.

This would not be a game but a simple tech demo and is more than achievable in a short time.

I do ask that if you are interested you have had at least 2 to 3 years of experience coding in DirectX and/or OpenGL, are familiar with other terrain LOD and CLOD algorithms, and have at least coded some type of terrain demo or application. Also experience with vertex and pixel shaders would be a definite plus as this demo will make good use of them. If you just figured out how to get a window up in Direct3D or OpenGL this project is not for you.

The demo will use:

Quad-tree based frustum culling
Geometry clip-mapping
Pixel and vertex shaders
Multiple scattering sky shader
Vertex texturing and displacement mapping
Per-pixel lighting