diff --git a/panda/src/grutil/config_grutil.cxx b/panda/src/grutil/config_grutil.cxx
index ea8aa7174d..5564a3719d 100644
--- a/panda/src/grutil/config_grutil.cxx
+++ b/panda/src/grutil/config_grutil.cxx
@@ -23,6 +23,7 @@
 #include "nodeVertexTransform.h"
 #include "rigidBodyCombiner.h"
 #include "pipeOcclusionCullTraverser.h"
+#include "shaderTerrainMesh.h"
 
 #include "dconfig.h"
 
@@ -123,6 +124,7 @@ init_libgrutil() {
   RigidBodyCombiner::init_type();
   PipeOcclusionCullTraverser::init_type();
   SceneGraphAnalyzerMeter::init_type();
+  ShaderTerrainMesh::init_type();
 
 #ifdef HAVE_AUDIO
   MovieTexture::init_type();
diff --git a/panda/src/grutil/p3grutil_composite1.cxx b/panda/src/grutil/p3grutil_composite1.cxx
index c02bb0c421..85d1c61e50 100644
--- a/panda/src/grutil/p3grutil_composite1.cxx
+++ b/panda/src/grutil/p3grutil_composite1.cxx
@@ -1,6 +1,7 @@
 #include "cardMaker.cxx"
 #include "heightfieldTesselator.cxx"
 #include "geoMipTerrain.cxx"
+#include "shaderTerrainMesh.cxx"
 #include "config_grutil.cxx"
 #include "lineSegs.cxx"
 #include "fisheyeMaker.cxx"
diff --git a/panda/src/grutil/shaderTerrainMesh.I b/panda/src/grutil/shaderTerrainMesh.I
new file mode 100644
index 0000000000..1f6e90f03c
--- /dev/null
+++ b/panda/src/grutil/shaderTerrainMesh.I
@@ -0,0 +1,191 @@
+/**
+ * PANDA 3D SOFTWARE
+ * Copyright (c) Carnegie Mellon University.  All rights reserved.
+ *
+ * All use of this software is subject to the terms of the revised BSD
+ * license.  You should have received a copy of this license along
+ * with this source code in a file named "LICENSE."
+ *
+ * @file shaderTerrainMesh.I
+ * @author tobspr
+ * @date 2016-02-16
+ */
+
+/**
+ * @brief Sets the path to the heightfield
+ * @details This sets the path to the terrain heightfield. It should be 16bit
+ *   single channel, and have a power-of-two resolution greater than 32.
+ *   Common sizes are 2048x2048 or 4096x4096.
+ *
+ * @param filename Path to the heightfield
+ */
+INLINE void ShaderTerrainMesh::set_heightfield_filename(const Filename& filename) {
+  _heightfield_source = filename;
+}
+
+/**
+ * @brief Returns the heightfield path
+ * @details This returns the path of the terrain heightfield, previously set with
+ *   set_heightfield()
+ *
+ * @return Path to the heightfield
+ */
+INLINE const Filename& ShaderTerrainMesh::get_heightfield_filename() const {
+  return _heightfield_source;
+}
+
+/**
+ * @brief Sets the chunk size
+ * @details This sets the chunk size of the terrain. A chunk is basically the
+ *   smallest unit in LOD. If the chunk size is too small, the terrain will
+ *   perform bad, since there will be way too many chunks. If the chunk size
+ *   is too big, you will not get proper LOD, and might also get bad performance.
+ *
+ *   For terrains of the size 4096x4096 or 8192x8192, a chunk size of 32 seems
+ *   to produce good results. For smaller resolutions, you should try out a
+ *   size of 16 or even 8 for very small terrains.
+ *
+ *   The amount of chunks generated for the last level equals to
+ *   (heightfield_size / chunk_size) ** 2. The chunk size has to be a power
+ *   of two.
+ *
+ * @param chunk_size Size of the chunks, has to be a power of two
+ */
+INLINE void ShaderTerrainMesh::set_chunk_size(size_t chunk_size) {
+  _chunk_size = chunk_size;
+}
+
+/**
+ * @brief Returns the chunk size
+ * @details This returns the chunk size, previously set with set_chunk_size()
+ * @return Chunk size
+ */
+INLINE size_t ShaderTerrainMesh::get_chunk_size() const {
+  return _chunk_size;
+}
+
+/**
+ * @brief Sets whether to generate patches
+ * @details If this option is set to true, GeomPatches will be used instead of
+ *   GeomTriangles. This is required when the terrain is used with tesselation
+ *   shaders, since patches are required for tesselation, whereas triangles
+ *   are required for regular rendering.
+ *
+ *   If this option is set to true while not using a tesselation shader, the
+ *   terrain will not get rendered, or even produce errors. The same applies
+ *   when this is option is not set, but the terrain is used with tesselation
+ *   shaders.
+ *
+ * @param generate_patches [description]
+ */
+INLINE void ShaderTerrainMesh::set_generate_patches(bool generate_patches) {
+  _generate_patches = generate_patches;
+}
+
+/**
+ * @brief Returns whether to generate patches
+ * @details This returns whether patches are generated, previously set with
+ *   set_generate_patches()
+ *
+ * @return Whether to generate patches
+ */
+INLINE bool ShaderTerrainMesh::get_generate_patches() const {
+  return _generate_patches;
+}
+
+
+/**
+ * @brief Sets the desired triangle width
+ * @details This sets the desired width a triangle should have in pixels.
+ *   A value of 10.0 for example will make the terrain tesselate everything
+ *   in a way that each triangle edge roughly is 10 pixels wide.
+ *   Of course this will not always accurately match, however you can use this
+ *   setting to control the LOD algorithm of the terrain.
+ *
+ * @param target_triangle_width Desired triangle width in pixels
+ */
+INLINE void ShaderTerrainMesh::set_target_triangle_width(PN_stdfloat target_triangle_width) {
+  _target_triangle_width = target_triangle_width;
+}
+
+/**
+ * @brief Returns the target triangle width
+ * @details This returns the target triangle width, previously set with
+ *   ShaderTerrainMesh::set_target_triangle_width()
+ *
+ * @return Target triangle width
+ */
+INLINE PN_stdfloat ShaderTerrainMesh::get_target_triangle_width() const {
+  return _target_triangle_width;
+}
+
+
+/**
+ * @brief Sets whether to enable terrain updates
+ * @details This flag controls whether the terrain should be updated. If this value
+ *   is set to false, no updating of the terrain will happen. This can be useful
+ *   to debug the culling algorithm used by the terrain.
+ *
+ * @param update_enabled Whether to update the terrain
+ */
+INLINE void ShaderTerrainMesh::set_update_enabled(bool update_enabled) {
+  _update_enabled = update_enabled;
+}
+
+/**
+ * @brief Returns whether the terrain is getting updated
+ * @details This returns whether the terrain is getting updates, previously set with
+ *   set_update_enabled()
+ *
+ * @return Whether to update the terrain
+ */
+INLINE bool ShaderTerrainMesh::get_update_enabled() const {
+  return _update_enabled;
+}
+
+/**
+ * @brief Returns a handle to the heightfield texture
+ * @details This returns a handle to the internally used heightfield texture. This
+ *   can be used to set the heightfield as a shader input.
+ *
+ * @return Handle to the heightfield texture
+ */
+INLINE Texture* ShaderTerrainMesh::get_heightfield_tex() const {
+  return _heightfield_tex;
+}
+
+/**
+ * @brief Clears all children
+ * @details This clears all children on the chunk and sets them to NULL. This will
+ *   effectively free all memory consumed by this chunk and its children.
+ */
+INLINE void ShaderTerrainMesh::Chunk::clear_children() {
+  for (size_t i = 0; i < 4; ++i) {
+    delete children[i];
+    children[i] = NULL;
+  }
+}
+
+/**
+ * @brief Chunk constructor
+ * @details This constructs a new chunk, and sets all children to NULL.
+ */
+INLINE ShaderTerrainMesh::Chunk::Chunk() {
+  for (size_t i = 0; i < 4; ++i)
+    children[i] = NULL;
+}
+
+/**
+ * @brief Chunk destructor
+ * @details This destructs the chunk, freeing all used resources
+ */
+INLINE ShaderTerrainMesh::Chunk::~Chunk() {
+  clear_children();
+}
+
+/**
+ * @see ShaderTerrainMesh::uv_to_world(LTexCoord)
+ */
+INLINE LPoint3 ShaderTerrainMesh::uv_to_world(PN_stdfloat u, PN_stdfloat v) const {
+  return uv_to_world(LTexCoord(u, v));
+}
diff --git a/panda/src/grutil/shaderTerrainMesh.cxx b/panda/src/grutil/shaderTerrainMesh.cxx
new file mode 100644
index 0000000000..4a8685ca4c
--- /dev/null
+++ b/panda/src/grutil/shaderTerrainMesh.cxx
@@ -0,0 +1,715 @@
+/**
+ * PANDA 3D SOFTWARE
+ * Copyright (c) Carnegie Mellon University.  All rights reserved.
+ *
+ * All use of this software is subject to the terms of the revised BSD
+ * license.  You should have received a copy of this license along
+ * with this source code in a file named "LICENSE."
+ *
+ * @file shaderTerrainMesh.cxx
+ * @author tobspr
+ * @date 2016-02-16
+ */
+
+
+#include "shaderTerrainMesh.h"
+#include "geom.h"
+#include "geomVertexFormat.h"
+#include "geomVertexData.h"
+#include "geomVertexWriter.h"
+#include "geomNode.h"
+#include "geomTriangles.h"
+#include "geomPatches.h"
+#include "omniBoundingVolume.h"
+#include "cullableObject.h"
+#include "cullTraverser.h"
+#include "cullHandler.h"
+#include "cullTraverserData.h"
+#include "clockObject.h"
+#include "shaderAttrib.h"
+#include "renderAttrib.h"
+#include "shaderInput.h"
+#include "boundingBox.h"
+#include "samplerState.h"
+#include "config_grutil.h"
+#include "typeHandle.h"
+
+ConfigVariableBool stm_use_hexagonal_layout
+("stm-use-hexagonal-layout", true,
+ PRC_DESC("Set this to true to use a hexagonal vertex layout. This approximates "
+          "the heightfield in a better way, however the CLOD transitions might be "
+          "visible due to the vertices not matching exactly."));
+
+ConfigVariableInt stm_max_chunk_count
+("stm-max-chunk-count", 2048,
+ PRC_DESC("Controls the maximum amount of chunks the Terrain can display. If you use "
+          "a high LOD, you might have to increment this value. The lower this value is "
+          "the less data has to be transferred to the GPU."));
+
+ConfigVariableInt stm_max_views
+("stm-max-views", 8,
+ PRC_DESC("Controls the maximum amount of different views the Terrain can be rendered "
+          "with. Each camera rendering the terrain corresponds to a view. Lowering this "
+          "value will reduce the data that has to be transferred to the GPU."));
+
+PStatCollector ShaderTerrainMesh::_basic_collector("Cull:ShaderTerrainMesh:Setup");
+PStatCollector ShaderTerrainMesh::_lod_collector("Cull:ShaderTerrainMesh:CollectLOD");
+
+NotifyCategoryDef(shader_terrain, "");
+
+TypeHandle ShaderTerrainMesh::_type_handle;
+
+/**
+ * @brief Helper function to check for a power of two
+ * @details This method checks for a power of two by using bitmasks
+ *
+ * @param x Number to check
+ * @return true if x is a power of two, false otherwise
+ */
+int check_power_of_two(size_t x)
+{
+  return ((x != 0) && ((x & (~x + 1)) == x));
+}
+
+/**
+ * @brief Constructs a new Terrain Mesh
+ * @details This constructs a new terrain mesh. By default, no transform is set
+ *   on the mesh, causing it to range over the unit box from (0, 0, 0) to
+ *   (1, 1, 1). Usually you want to set a custom transform with NodePath::set_scale()
+ */
+ShaderTerrainMesh::ShaderTerrainMesh() :
+  PandaNode("ShaderTerrainMesh"),
+  _size(0),
+  _chunk_size(32),
+  _heightfield_source(""),
+  _generate_patches(false),
+  _data_texture(NULL),
+  _chunk_geom(NULL),
+  _current_view_index(0),
+  _last_frame_count(-1),
+  _target_triangle_width(10.0f),
+  _update_enabled(true),
+  _heightfield_tex(NULL)
+{
+  set_final(true);
+  set_bounds(new OmniBoundingVolume());
+}
+
+/**
+ * @brief Generates the terrain mesh
+ * @details This generates the terrain mesh, initializing all chunks of the
+ *   internal used quadtree. At this point, a heightfield and a chunk size should
+ *   have been set, otherwise an error is thrown.
+ *
+ *   If anything goes wrong, like a missing heightfield, then an error is printed
+ *   and false is returned.
+ *
+ * @return true if the terrain was initialized, false if an error occured
+ */
+bool ShaderTerrainMesh::generate() {
+  if (!do_load_heightfield())
+    return false;
+
+  if (_chunk_size < 8 || !check_power_of_two(_chunk_size)) {
+    shader_terrain_cat.error() << "Invalid chunk size! Has to be >= 8 and a power of two!" << endl;
+    return false;
+  }
+
+  if (_chunk_size > _size / 4) {
+    shader_terrain_cat.error() << "Chunk size too close or greater than the actual terrain size!" << endl;
+    return false;
+  }
+
+  do_create_chunks();
+  do_compute_bounds(&_base_chunk);
+  do_create_chunk_geom();
+  do_init_data_texture();
+  do_convert_heightfield();
+
+  return true;
+}
+
+/**
+ * @brief Converts the internal used PNMImage to a Texture
+ * @details This converts the internal used PNMImage to a texture object. The
+ *   reason for this is, that we need the PNMimage for computing the chunk
+ *   bounds, but don't need it afterwards. However, since we have it in ram,
+ *   we can just put its contents into a Texture object, which enables the
+ *   user to call get_heightfield() instead of manually loading the texture
+ *   from disk again to set it as shader input (Panda does not cache PNMImages)
+ */
+void ShaderTerrainMesh::do_convert_heightfield() {
+  _heightfield_tex = new Texture();
+  _heightfield_tex->load(_heightfield);
+  _heightfield_tex->set_keep_ram_image(true);
+
+  if (_heightfield.get_maxval() != 65535) {
+    shader_terrain_cat.warning() << "Using non 16-bit heightfield!" << endl;
+  } else {
+    _heightfield_tex->set_format(Texture::F_r16);
+  }
+  _heightfield_tex->set_minfilter(SamplerState::FT_linear);
+  _heightfield_tex->set_magfilter(SamplerState::FT_linear);
+  _heightfield.clear();
+}
+
+/**
+ * @brief Intermal method to load the heightfield
+ * @details This method loads the heightfield from the heightfield path,
+ *   and performs some basic checks, including a check for a power of two,
+ *   and same width and height.
+ *
+ * @return true if the heightfield was loaded and meets the requirements
+ */
+bool ShaderTerrainMesh::do_load_heightfield() {
+
+  if(!_heightfield.read(_heightfield_source)) {
+    shader_terrain_cat.error() << "Could not load heightfield from " << _heightfield_source << endl;
+    return false;
+  }
+
+  if (_heightfield.get_x_size() != _heightfield.get_y_size()) {
+    shader_terrain_cat.error() << "Only square heightfields are supported!";
+    return false;
+  }
+
+  _size = _heightfield.get_x_size();
+
+  if (_size < 32 || !check_power_of_two(_size)) {
+    shader_terrain_cat.error() << "Invalid heightfield! Needs to be >= 32 and a power of two (was: "
+         << _size << ")!" << endl;
+    return false;
+  }
+
+  return true;
+}
+
+/**
+ * @brief Internal method to init the terrain data texture
+ * @details This method creates the data texture, used to store all chunk data.
+ *   The data texture is set as a shader input later on, and stores the position
+ *   and scale of each chunk. Every row in the data texture denotes a view on
+ *   the terrain.
+ */
+void ShaderTerrainMesh::do_init_data_texture() {
+  _data_texture = new Texture("TerrainDataTexture");
+  _data_texture->setup_2d_texture(stm_max_chunk_count, stm_max_views, Texture::T_float, Texture::F_rgba32);
+  _data_texture->set_clear_color(LVector4(0));
+  _data_texture->clear_image();
+}
+
+/**
+ * @brief Internal method to init the quadtree
+ * @details This method creates the base chunk and then inits all chunks recursively
+ *   by using ShaderTerrainMesh::do_init_chunk().
+ */
+void ShaderTerrainMesh::do_create_chunks() {
+
+  // Release any previously stored children
+  _base_chunk.clear_children();
+
+  // Create the base chunk
+  _base_chunk.depth = 0;
+  _base_chunk.x = 0;
+  _base_chunk.y = 0;
+  _base_chunk.size = _size;
+  _base_chunk.edges.set(0, 0, 0, 0);
+  _base_chunk.avg_height = 0.5;
+  _base_chunk.min_height = 0.0;
+  _base_chunk.max_height = 1.0;
+  _base_chunk.last_clod = 0.0;
+  do_init_chunk(&_base_chunk);
+}
+
+/**
+ * @brief Internal method to recursively init the quadtree
+ * @details This method inits the quadtree. Starting from a given node, it
+ *   first examines if that node should be subdivided.
+ *
+ *   If the node should be subdivided, four children are created and this method
+ *   is called on the children again. If the node is a leaf, all children are
+ *   set to NULL and nothing else happens.
+ *
+ *   The chunk parameter may not be zero or undefined behaviour occurs.
+ *
+ * @param chunk The parent chunk
+ */
+void ShaderTerrainMesh::do_init_chunk(Chunk* chunk) {
+  if (chunk->size > _chunk_size) {
+
+    // Compute children chunk size
+    size_t child_chunk_size = chunk->size / 2;
+
+    // Subdivide chunk into 4 children
+    for (size_t y = 0; y < 2; ++y) {
+      for (size_t x = 0; x < 2; ++x) {
+        Chunk* child = new Chunk();
+        child->size = child_chunk_size;
+        child->depth = chunk->depth + 1;
+        child->x = chunk->x + x * child_chunk_size;
+        child->y = chunk->y + y * child_chunk_size;
+        do_init_chunk(child);
+        chunk->children[x + 2*y] = child;
+      }
+    }
+  } else {
+    // Final chunk, initialize all children to zero
+    for (size_t i = 0; i < 4; ++i) {
+      chunk->children[i] = NULL;
+    }
+  }
+}
+
+/**
+ * @brief Recursively computes the bounds for a given chunk
+ * @details This method takes a parent chunk, and computes the bounds recursively,
+ *   depending on whether the chunk is a leaf or a node.
+ *
+ *   If the chunk is a leaf, then the average, min and max values for that chunk
+ *   are computed by iterating over the heightfield region of that chunk.
+ *
+ *   If the chunk is a node, this method is called recursively on all children
+ *   first, and after that, the average, min and max values for that chunk
+ *   are computed by merging those values of the children.
+ *
+ *   If chunk is NULL, undefined behaviour occurs.
+ *
+ * @param chunk The parent chunk
+ */
+void ShaderTerrainMesh::do_compute_bounds(Chunk* chunk) {
+
+  // Final chunk (Leaf)
+  if (chunk->size == _chunk_size) {
+
+    // Get a pointer to the PNMImage data, this is faster than using get_xel()
+    // for all pixels, since get_xel() also includes bounds checks and so on.
+    xel* data = _heightfield.get_array();
+
+    // Pixel getter function. Note that we have to flip the Y-component, since
+    // panda itself also flips it
+    // auto get_xel = [&](size_t x, size_t y){ return data[x + (_size - 1 - y) * _size].b / (PN_stdfloat)PGM_MAXMAXVAL; };
+    #define get_xel(x, y) (data[(x) + (_size - 1 - (y)) * _size].b / (PN_stdfloat)PGM_MAXMAXVAL)
+
+    // Iterate over all pixels
+    PN_stdfloat avg_height = 0.0, min_height = 1.0, max_height = 0.0;
+    for (size_t x = 0; x < _chunk_size; ++x) {
+      for (size_t y = 0; y < _chunk_size; ++y) {
+
+        // Access data directly, to improve performance
+        PN_stdfloat height = get_xel(chunk->x + x, chunk->y + y);
+        avg_height += height;
+        min_height = min(min_height, height);
+        max_height = max(max_height, height);
+      }
+    }
+
+    // Normalize average height
+    avg_height /= _chunk_size * _chunk_size;
+
+    // Store values
+    chunk->min_height = min_height;
+    chunk->max_height = max_height;
+    chunk->avg_height = avg_height;
+
+    // Get edges in the order (0, 0) (1, 0) (0, 1) (1, 1)
+    for (size_t y = 0; y < 2; ++y) {
+      for (size_t x = 0; x < 2; ++x) {
+        chunk->edges.set_cell(x + 2 * y, get_xel(
+            chunk->x + x * (_chunk_size - 1),
+            chunk->y + y * (_chunk_size - 1)
+          ));
+      }
+    }
+
+    #undef get_xel
+
+  } else {
+
+    // Reset heights
+    chunk->avg_height = 0.0;
+    chunk->min_height = 1.0;
+    chunk->max_height = 0.0;
+
+    // Perform bounds computation for every children and merge the children values
+    for (size_t i = 0; i < 4; ++i) {
+      do_compute_bounds(chunk->children[i]);
+      chunk->avg_height += chunk->children[i]->avg_height / 4.0;
+      chunk->min_height = min(chunk->min_height, chunk->children[i]->min_height);
+      chunk->max_height = max(chunk->max_height, chunk->children[i]->max_height);
+    }
+
+    // Also take the edge points from the children
+    chunk->edges.set_x(chunk->children[0]->edges.get_x());
+    chunk->edges.set_y(chunk->children[1]->edges.get_y());
+    chunk->edges.set_z(chunk->children[2]->edges.get_z());
+    chunk->edges.set_w(chunk->children[3]->edges.get_w());
+  }
+}
+
+/**
+ * @brief Internal method to create the chunk geom
+ * @details This method generates the internal used base chunk. The base chunk geom
+ *   is used to render the actual terrain, and will get instanced for every chunk.
+ *
+ *   The chunk has a size of (size+3) * (size+3), since additional triangles are
+ *   inserted at the borders to prevent holes between chunks of a different LOD.
+ *
+ *   If the generate patches option is set, patches will be generated instead
+ *   of triangles, which allows the terrain to use a tesselation shader.
+ */
+void ShaderTerrainMesh::do_create_chunk_geom() {
+
+  // Convert chunk size to an integer, because we operate on integers and get
+  // signed/unsigned mismatches otherwise
+  int size = (int)_chunk_size;
+
+  // Create vertex data
+  PT(GeomVertexData) gvd = new GeomVertexData("vertices", GeomVertexFormat::get_v3(), Geom::UH_static);
+  gvd->reserve_num_rows( (size + 3) * (size + 3) );
+  GeomVertexWriter vertex_writer(gvd, "vertex");
+
+  // Create primitive
+  PT(GeomPrimitive) triangles = NULL;
+  if (_generate_patches) {
+    triangles = new GeomPatches(3, Geom::UH_static);
+  } else {
+    triangles = new GeomTriangles(Geom::UH_static);
+  }
+
+  // Insert chunk vertices
+  for (int y = -1; y <= size + 1; ++y) {
+    for (int x = -1; x <= size + 1; ++x) {
+      LVector3 vtx_pos(x / (PN_stdfloat)size, y / (PN_stdfloat)size, 0.0f);
+      // Stitched vertices at the cornders
+      if (x == -1 || y == -1 || x == size + 1 || y == size + 1) {
+        vtx_pos.set_z(-1.0f / (PN_stdfloat)size);
+        vtx_pos.set_x(max(0.0f, min(1.0f, vtx_pos.get_x())));
+        vtx_pos.set_y(max(0.0f, min(1.0f, vtx_pos.get_y())));
+      }
+      vertex_writer.add_data3f(vtx_pos);
+    }
+  }
+
+  // Its important to use int and not size_t here, since we do store negative values
+  // auto get_point_index = [&size](int x, int y){ return (x + 1) + (size + 3) * (y + 1); };
+  #define get_point_index(x, y) (((x) + 1) + (size + 3) * ((y) + 1))
+
+  // Create triangles
+  for (int y = -1; y <= size; ++y) {
+    for (int x = -1; x <= size; ++x) {
+      // Get point indices of the quad vertices
+      int tl = get_point_index(x, y);
+      int tr = get_point_index(x + 1, y);
+      int bl = get_point_index(x, y + 1);
+      int br = get_point_index(x + 1, y + 1);
+
+      // Vary triangle scheme on each uneven quad
+      if (stm_use_hexagonal_layout && (x + y) % 2 == 0 ) {
+        triangles->add_vertices(tl, tr, bl);
+        triangles->add_vertices(bl, tr, br);
+      } else {
+        triangles->add_vertices(tl, tr, br);
+        triangles->add_vertices(tl, br, bl);
+      }
+    }
+  }
+
+  #undef get_point_index
+
+  // Construct geom
+  PT(Geom) geom = new Geom(gvd);
+  geom->add_primitive(triangles);
+
+  // Do not set any bounds, we do culling ourself
+  geom->clear_bounds();
+  geom->set_bounds(new OmniBoundingVolume());
+  _chunk_geom = geom;
+}
+
+/**
+ * @copydoc PandaNode::is_renderable()
+ */
+bool ShaderTerrainMesh::is_renderable() const {
+  return true;
+}
+
+/**
+ * @copydoc PandaNode::is_renderable()
+ */
+bool ShaderTerrainMesh::safe_to_flatten() const {
+  return false;
+}
+
+/**
+ * @copydoc PandaNode::safe_to_combine()
+ */
+bool ShaderTerrainMesh::safe_to_combine() const {
+  return false;
+}
+
+/**
+ * @copydoc PandaNode::add_for_draw()
+ */
+void ShaderTerrainMesh::add_for_draw(CullTraverser *trav, CullTraverserData &data) {
+
+  // Make sure the terrain was properly initialized, and the geom was created
+  // successfully
+  nassertv(_data_texture != NULL);
+  nassertv(_chunk_geom != NULL);
+
+  _basic_collector.start();
+
+  // Get current frame count
+  int frame_count = ClockObject::get_global_clock()->get_frame_count();
+
+  if (_last_frame_count != frame_count) {
+    // Frame count changed, this means we are at the beginning of a new frame.
+    // In this case, update the frame count and reset the view index.
+    _last_frame_count = frame_count;
+    _current_view_index = 0;
+  }
+
+  // Get transform and render state for this render pass
+  CPT(TransformState) modelview_transform = data.get_internal_transform(trav);
+  CPT(RenderState) state = data._state->compose(get_state());
+
+  // Store a handle to the scene setup
+  const SceneSetup* scene = trav->get_scene();
+
+  // Get the MVP matrix, this is required for the LOD
+  const Lens* current_lens = scene->get_lens();
+  const LMatrix4& projection_mat = current_lens->get_projection_mat();
+
+  // Get the current lens bounds
+  PT(BoundingVolume) cam_bounds = scene->get_cull_bounds();
+
+  // Transform the camera bounds with the main camera transform
+  DCAST(GeometricBoundingVolume, cam_bounds)->xform(scene->get_camera_transform()->get_mat());
+
+  TraversalData traversal_data;
+  traversal_data.cam_bounds = cam_bounds;
+  traversal_data.model_mat = get_transform()->get_mat();
+  traversal_data.mvp_mat = modelview_transform->get_mat() * projection_mat;
+  traversal_data.emitted_chunks = 0;
+  traversal_data.storage_ptr = (ChunkDataEntry*)_data_texture->modify_ram_image().p();
+  traversal_data.screen_size.set(scene->get_viewport_width(), scene->get_viewport_height());
+
+  // Move write pointer so it points to the beginning of the current view
+  traversal_data.storage_ptr += _data_texture->get_x_size() * _current_view_index;
+
+  if (_update_enabled) {
+    // Traverse recursively
+    _lod_collector.start();
+    do_traverse(&_base_chunk, &traversal_data);
+    _lod_collector.stop();
+  } else {
+    // Do a rough guess of the emitted chunks, we don't know the actual count
+    // (we would have to store it). This is only for debugging anyways, so
+    // its not important we get an accurate count here.
+    traversal_data.emitted_chunks = _data_texture->get_x_size();
+  }
+
+  // Set shader inputs
+  CPT(RenderAttrib) current_shader_attrib = state->get_attrib_def(ShaderAttrib::get_class_slot());
+
+  // Make sure the user didn't forget to set a shader
+  if (!DCAST(ShaderAttrib, current_shader_attrib)->has_shader()) {
+    shader_terrain_cat.warning() << "No shader set on the terrain! You need to set the appropriate shader!" << endl;
+  }
+
+  // Should never happen
+  nassertv(current_shader_attrib != NULL);
+
+  current_shader_attrib = DCAST(ShaderAttrib, current_shader_attrib)->set_shader_input(
+    new ShaderInput("ShaderTerrainMesh.terrain_size", LVecBase2i(_size)) );
+  current_shader_attrib = DCAST(ShaderAttrib, current_shader_attrib)->set_shader_input(
+    new ShaderInput("ShaderTerrainMesh.chunk_size", LVecBase2i(_chunk_size)));
+  current_shader_attrib = DCAST(ShaderAttrib, current_shader_attrib)->set_shader_input(
+    new ShaderInput("ShaderTerrainMesh.view_index", LVecBase2i(_current_view_index)));
+  current_shader_attrib = DCAST(ShaderAttrib, current_shader_attrib)->set_shader_input(
+    new ShaderInput("ShaderTerrainMesh.data_texture", _data_texture));
+  current_shader_attrib = DCAST(ShaderAttrib, current_shader_attrib)->set_shader_input(
+    new ShaderInput("ShaderTerrainMesh.heightfield", _heightfield_tex));
+  current_shader_attrib = DCAST(ShaderAttrib, current_shader_attrib)->set_instance_count(
+    traversal_data.emitted_chunks);
+
+  state = state->set_attrib(current_shader_attrib, 10000);
+
+  // Emit chunk
+  CullableObject *object = new CullableObject(_chunk_geom, state, modelview_transform);
+  trav->get_cull_handler()->record_object(object, trav);
+
+  // After rendering, increment the view index
+  ++_current_view_index;
+
+  if (_current_view_index > stm_max_views) {
+    shader_terrain_cat.error() << "More views than supported! Increase the stm-max-views config variable!" << endl;
+  }
+
+  _basic_collector.stop();
+}
+
+/**
+ * @brief Traverses the quadtree
+ * @details This method traverses the given chunk, deciding whether it should
+ *   be rendered or subdivided.
+ *
+ *   In case the chunk is decided to be subdivided, this method is called on
+ *   all children.
+ *
+ *   In case the chunk is decided to be rendered, ShaderTerrainMesh::do_emit_chunk() is
+ *   called. Otherwise nothing happens, and the chunk does not get rendered.
+ *
+ * @param chunk Chunk to traverse
+ * @param data Traversal data
+ */
+void ShaderTerrainMesh::do_traverse(Chunk* chunk, TraversalData* data, bool fully_visible) {
+
+  // Don't check bounds if we are fully visible
+  if (!fully_visible) {
+
+    // Construct chunk bounding volume
+    PN_stdfloat scale = 1.0 / (PN_stdfloat)_size;
+    LPoint3 bb_min(chunk->x * scale, chunk->y * scale, chunk->min_height);
+    LPoint3 bb_max((chunk->x + chunk->size) * scale, (chunk->y + chunk->size) * scale, chunk->max_height);
+
+    BoundingBox bbox = BoundingBox(bb_min, bb_max);
+    DCAST(GeometricBoundingVolume, &bbox)->xform(data->model_mat);
+    int intersection = data->cam_bounds->contains(&bbox);
+
+    if (intersection == BoundingVolume::IF_no_intersection) {
+      // No intersection with frustum
+      return;
+    }
+
+    // If the bounds are fully visible, there is no reason to perform culling
+    // on the children, so we set this flag to prevent any bounding computation
+    // on the child nodes.
+    fully_visible = (intersection & BoundingVolume::IF_all) != 0;
+  }
+
+  // Check if the chunk should be subdivided. In case the chunk is a leaf node,
+  // the chunk will never get subdivided.
+  // NOTE: We still always perform the LOD check. This is for the reason that
+  // the lod check also computes the CLOD factor, which is useful.
+  if (do_check_lod_matches(chunk, data) || chunk->size == _chunk_size) {
+    do_emit_chunk(chunk, data);
+  } else {
+    // Traverse children
+    for (size_t i = 0; i < 4; ++i) {
+      do_traverse(chunk->children[i], data, fully_visible);
+    }
+  }
+}
+
+/**
+ * @brief Checks whether a chunk should get subdivided
+ * @details This method checks whether a chunk fits on screen, or should be
+ *   subdivided in order to provide bigger detail.
+ *
+ *   In case this method returns true, the chunk lod is fine, and the chunk
+ *   can be rendered. If the method returns false, the chunk should be subdivided.
+ *
+ * @param chunk Chunk to check
+ * @param data Traversal data
+ *
+ * @return true if the chunk is sufficient, false if the chunk should be subdivided
+ */
+bool ShaderTerrainMesh::do_check_lod_matches(Chunk* chunk, TraversalData* data) {
+
+  // Project all points to world space
+  LVector2 projected_points[4];
+  for (size_t y = 0; y < 2; ++y) {
+    for (size_t x = 0; x < 2; ++x) {
+
+      // Compute point in model space (0,0,0 to 1,1,1)
+      LVector3 edge_pos = LVector3(
+        (PN_stdfloat)(chunk->x + x * (chunk->size - 1)) / (PN_stdfloat)_size,
+        (PN_stdfloat)(chunk->y + y * (chunk->size - 1)) / (PN_stdfloat)_size,
+        chunk->edges.get_cell(x + 2 * y)
+      );
+      LVector4 projected = data->mvp_mat.xform(LVector4(edge_pos, 1.0));
+      if (projected.get_w() == 0.0) {
+        projected.set(0.0, 0.0, -1.0, 1.0f);
+      }
+      projected *= 1.0 / projected.get_w();
+      projected_points[x + 2 * y].set(
+        projected.get_x() * data->screen_size.get_x(),
+        projected.get_y() * data->screen_size.get_y());
+    }
+  }
+
+  // Compute the length of the edges in screen space
+  PN_stdfloat edge_top = (projected_points[1] - projected_points[3]).length_squared();
+  PN_stdfloat edge_right = (projected_points[0] - projected_points[2]).length_squared();
+  PN_stdfloat edge_bottom = (projected_points[2] - projected_points[3]).length_squared();
+  PN_stdfloat edge_left = (projected_points[0] - projected_points[1]).length_squared();
+
+  // CLOD factor
+  PN_stdfloat max_edge = max(edge_top, max(edge_right, max(edge_bottom, edge_left)));
+
+  // Micro-Optimization: We use length_squared() instead of length() to compute the
+  // maximum edge length. This reduces it to one csqrt instead of four.
+  max_edge = csqrt(max_edge);
+
+  PN_stdfloat tesselation_factor = (max_edge / _target_triangle_width) / (PN_stdfloat)_chunk_size;
+  PN_stdfloat clod_factor = max(0.0, min(1.0, 2.0 - tesselation_factor));
+
+  // Store the clod factor
+  chunk->last_clod = clod_factor;
+
+  return tesselation_factor <= 2.0;
+}
+
+/**
+ * @brief Internal method to spawn a chunk
+ * @details This method is used to spawn a chunk in case the traversal decided
+ *   that the chunk gets rendered. It writes the chunks data to the texture, and
+ *   increments the write pointer
+ *
+ * @param chunk Chunk to spawn
+ * @param data Traversal data
+ */
+void ShaderTerrainMesh::do_emit_chunk(Chunk* chunk, TraversalData* data) {
+  if (data->emitted_chunks >= _data_texture->get_x_size()) {
+
+    // Only print warning once
+    if (data->emitted_chunks == _data_texture->get_x_size()) {
+      shader_terrain_cat.error() << "Too many chunks in the terrain! Consider lowering the desired LOD, or increase the stm-max-chunk-count variable." << endl;
+      data->emitted_chunks++;
+    }
+    return;
+  }
+
+  ChunkDataEntry& data_entry = *data->storage_ptr;
+  data_entry.x = chunk->x;
+  data_entry.y = chunk->y;
+  data_entry.size = chunk->size / _chunk_size;
+  data_entry.clod = chunk->last_clod;
+
+  data->emitted_chunks ++;
+  data->storage_ptr ++;
+}
+
+/**
+ * @brief Transforms a texture coordinate to world space
+ * @details This transforms a texture coordinatefrom uv-space (0 to 1) to world
+ *   space. This takes the terrains transform into account, and also samples the
+ *   heightmap. This method should be called after generate().
+ *
+ * @param coord Coordinate in uv-space from 0, 0 to 1, 1
+ * @return World-Space point
+ */
+LPoint3 ShaderTerrainMesh::uv_to_world(const LTexCoord& coord) const {
+  nassertr(_heightfield_tex != NULL, LPoint3(0));
+  PT(TexturePeeker) peeker = _heightfield_tex->peek();
+  nassertr(peeker != NULL, LPoint3(0));
+
+  LColor result;
+  if (!peeker->lookup_bilinear(result, coord.get_x(), coord.get_y())) {
+    shader_terrain_cat.error() << "UV out of range, cant transform to world!" << endl;
+    return LPoint3(0);
+  }
+  LPoint3 unit_point(coord.get_x(), coord.get_y(), result.get_x());
+  return get_transform()->get_mat().xform_point_general(unit_point);
+}
diff --git a/panda/src/grutil/shaderTerrainMesh.h b/panda/src/grutil/shaderTerrainMesh.h
new file mode 100644
index 0000000000..f66caacf76
--- /dev/null
+++ b/panda/src/grutil/shaderTerrainMesh.h
@@ -0,0 +1,205 @@
+/**
+ * PANDA 3D SOFTWARE
+ * Copyright (c) Carnegie Mellon University.  All rights reserved.
+ *
+ * All use of this software is subject to the terms of the revised BSD
+ * license.  You should have received a copy of this license along
+ * with this source code in a file named "LICENSE."
+ *
+ * @file shaderTerrainMesh.h
+ * @author tobspr
+ * @date 2016-02-16
+ */
+
+#ifndef SHADER_TERRAIN_MESH_H
+#define SHADER_TERRAIN_MESH_H
+
+#include "pandabase.h"
+#include "luse.h"
+#include "pnmImage.h"
+#include "geom.h"
+#include "pandaNode.h"
+#include "texture.h"
+#include "texturePeeker.h"
+#include "configVariableBool.h"
+#include "configVariableInt.h"
+#include "pStatCollector.h"
+#include "filename.h"
+#include <stdint.h>
+
+extern ConfigVariableBool stm_use_hexagonal_layout;
+extern ConfigVariableInt stm_max_chunk_count;
+extern ConfigVariableInt stm_max_views;
+
+
+NotifyCategoryDecl(shader_terrain, EXPCL_PANDA_GRUTIL, EXPTP_PANDA_GRUTIL);
+
+
+/**
+ * @brief Terrain Renderer class utilizing the GPU
+ * @details This class provides functionality to render heightfields of large
+ *   sizes utilizing the GPU. Internally a quadtree is used to generate the LODs.
+ *   The final terrain is then rendered using instancing on the GPU. This makes
+ *   it possible to use very large heightfields (8192+) with very reasonable
+ *   performance. The terrain provides options to control the LOD using a
+ *   target triangle width, see ShaderTerrainMesh::set_target_triangle_width().
+ *
+ *   Because the Terrain is rendered entirely on the GPU, it needs a special
+ *   vertex shader. There is a default vertex shader available, which you can
+ *   use in your own shaders. IMPORTANT: If you don't set an appropriate shader
+ *   on the terrain, nothing will be visible.
+ */
+class EXPCL_PANDA_GRUTIL ShaderTerrainMesh : public PandaNode {
+
+PUBLISHED:
+
+  ShaderTerrainMesh();
+
+  INLINE void set_heightfield_filename(const Filename& filename);
+  INLINE const Filename& get_heightfield_filename() const;
+  MAKE_PROPERTY(heightfield_filename, get_heightfield_filename, set_heightfield_filename);
+
+  INLINE void set_chunk_size(size_t chunk_size);
+  INLINE size_t get_chunk_size() const;
+  MAKE_PROPERTY(chunk_size, get_chunk_size, set_chunk_size);
+
+  INLINE void set_generate_patches(bool generate_patches);
+  INLINE bool get_generate_patches() const;
+  MAKE_PROPERTY(generate_patches, get_generate_patches, set_generate_patches);
+
+  INLINE void set_update_enabled(bool update_enabled);
+  INLINE bool get_update_enabled() const;
+  MAKE_PROPERTY(update_enabled, get_update_enabled, set_update_enabled);
+
+  INLINE void set_target_triangle_width(PN_stdfloat target_triangle_width);
+  INLINE PN_stdfloat get_target_triangle_width() const;
+  MAKE_PROPERTY(target_triangle_width, get_target_triangle_width, set_target_triangle_width);
+
+  INLINE Texture* get_heightfield_tex() const;
+  MAKE_PROPERTY(heightfield_tex, get_heightfield_tex);
+
+  LPoint3 uv_to_world(const LTexCoord& coord) const;
+  INLINE LPoint3 uv_to_world(PN_stdfloat u, PN_stdfloat v) const;
+
+  bool generate();
+
+public:
+
+  // Methods derived from PandaNode
+  virtual bool is_renderable() const;
+  virtual bool safe_to_flatten() const;
+  virtual bool safe_to_combine() const;
+  virtual void add_for_draw(CullTraverser *trav, CullTraverserData &data);
+
+private:
+
+  // Chunk data
+  struct Chunk {
+    // Depth, starting at 0
+    size_t depth;
+
+    // Chunk position in heightfield space
+    size_t x, y;
+
+    // Chunk size in heightfield space
+    size_t size;
+
+    // Children, in the order (0, 0) (1, 0) (0, 1) (1, 1)
+    Chunk* children[4];
+
+    // Chunk heights, used for culling
+    PN_stdfloat avg_height, min_height, max_height;
+
+    // Edge heights, used for lod computation, in the same order as the children
+    LVector4 edges;
+
+    // Last CLOD factor, stored while computing LOD, used for seamless transitions between lods
+    PN_stdfloat last_clod;
+
+    INLINE void clear_children();
+    INLINE Chunk();
+    INLINE ~Chunk();
+  };
+
+
+  // Single entry in the data block
+  struct ChunkDataEntry {
+    // float x, y, size, clod;
+
+    // Panda uses BGRA, the above layout shows how its actually in texture memory,
+    // the layout below makes it work with BGRA.
+    PN_float32 size, y, x, clod;
+  };
+
+  // Data used while traversing all chunks
+  struct TraversalData {
+    // Global MVP used for LOD
+    LMatrix4 mvp_mat;
+
+    // Local model matrix used for culling
+    LMatrix4 model_mat;
+
+    // Camera bounds in world space
+    BoundingVolume* cam_bounds;
+
+    // Amount of emitted chunks so far
+    int emitted_chunks;
+
+    // Screen resolution, used for LOD
+    LVector2i screen_size;
+
+    // Pointer to the texture memory, where each chunk is written to
+    ChunkDataEntry* storage_ptr;
+  };
+
+  bool do_load_heightfield();
+  void do_convert_heightfield();
+  void do_init_data_texture();
+  void do_create_chunks();
+  void do_init_chunk(Chunk* chunk);
+  void do_compute_bounds(Chunk* chunk);
+  void do_create_chunk_geom();
+  void do_traverse(Chunk* chunk, TraversalData* data, bool fully_visible = false);
+  void do_emit_chunk(Chunk* chunk, TraversalData* data);
+  bool do_check_lod_matches(Chunk* chunk, TraversalData* data);
+
+  Chunk _base_chunk;
+  Filename _heightfield_source;
+  size_t _size;
+  size_t _chunk_size;
+  bool _generate_patches;
+  PNMImage _heightfield;
+  PT(Texture) _heightfield_tex;
+  PT(Geom) _chunk_geom;
+  PT(Texture) _data_texture;
+  size_t _current_view_index;
+  int _last_frame_count;
+  PN_stdfloat _target_triangle_width;
+  bool _update_enabled;
+
+  // PStats stuff
+  static PStatCollector _lod_collector;
+  static PStatCollector _basic_collector;
+
+
+// Type handle stuff
+public:
+  static TypeHandle get_class_type() {
+    return _type_handle;
+  }
+  static void init_type() {
+    PandaNode::init_type();
+    register_type(_type_handle, "ShaderTerrainMesh", PandaNode::get_class_type());
+  }
+  virtual TypeHandle get_type() const {
+    return get_class_type();
+  }
+  virtual TypeHandle force_init_type() {init_type(); return get_class_type();}
+
+private:
+  static TypeHandle _type_handle;
+};
+
+#include "shaderTerrainMesh.I"
+
+#endif // SHADER_TERRAIN_MESH_H
diff --git a/samples/shader-terrain/heightfield.png b/samples/shader-terrain/heightfield.png
new file mode 100644
index 0000000000..2d72c0445f
Binary files /dev/null and b/samples/shader-terrain/heightfield.png differ
diff --git a/samples/shader-terrain/main.py b/samples/shader-terrain/main.py
new file mode 100644
index 0000000000..10f926fb2f
--- /dev/null
+++ b/samples/shader-terrain/main.py
@@ -0,0 +1,80 @@
+#!/usr/bin/env python
+
+# Author: tobspr
+#
+# Last Updated: 2016-02-13
+#
+# This tutorial provides an example of using the ShaderTerrainMesh class
+
+import os, sys, math, random
+
+from direct.showbase.ShowBase import ShowBase
+from panda3d.core import ShaderTerrainMesh, Shader, load_prc_file_data
+from panda3d.core import SamplerState
+
+class ShaderTerrainDemo(ShowBase):
+    def __init__(self):
+
+        # Load some configuration variables, its important for this to happen
+        # before the ShowBase is initialized
+        load_prc_file_data("", """
+            textures-power-2 none
+            window-title Panda3D Shader Terrain Demo
+        """)
+
+        # Initialize the showbase
+        ShowBase.__init__(self)
+
+        # Increase camera FOV aswell as the far plane
+        self.camLens.set_fov(90)
+        self.camLens.set_near_far(0.1, 50000)
+
+        # Construct the terrain
+        self.terrain_node = ShaderTerrainMesh()
+
+        # Set a heightfield, the heightfield should be a 16-bit png and
+        # have a quadratic size of a power of two.
+        self.terrain_node.heightfield_filename = "heightfield.png"
+
+        # Set the target triangle width. For a value of 10.0 for example,
+        # the terrain will attempt to make every triangle 10 pixels wide on screen.
+        self.terrain_node.target_triangle_width = 10.0
+
+        # Generate the terrain
+        self.terrain_node.generate()
+
+        # Attach the terrain to the main scene and set its scale
+        self.terrain = self.render.attach_new_node(self.terrain_node)
+        self.terrain.set_scale(1024, 1024, 100)
+        self.terrain.set_pos(-512, -512, -70.0)
+
+        # Set a shader on the terrain. The ShaderTerrainMesh only works with
+        # an applied shader. You can use the shaders used here in your own shaders
+        terrain_shader = Shader.load(Shader.SL_GLSL, "terrain.vert.glsl", "terrain.frag.glsl")
+        self.terrain.set_shader(terrain_shader)
+        self.terrain.set_shader_input("camera", self.camera)
+
+        # Set some texture on the terrain
+        grass_tex = self.loader.loadTexture("textures/grass.png")
+        grass_tex.set_minfilter(SamplerState.FT_linear_mipmap_linear)
+        grass_tex.set_anisotropic_degree(16)
+        self.terrain.set_texture(grass_tex)
+
+        # Load some skybox - you can safely ignore this code
+        skybox = self.loader.loadModel("models/skybox.bam")
+        skybox.reparent_to(self.render)
+        skybox.set_scale(20000)
+
+        skybox_texture = self.loader.loadTexture("textures/skybox.jpg")
+        skybox_texture.set_minfilter(SamplerState.FT_linear)
+        skybox_texture.set_magfilter(SamplerState.FT_linear)
+        skybox_texture.set_wrap_u(SamplerState.WM_repeat)
+        skybox_texture.set_wrap_v(SamplerState.WM_mirror)
+        skybox_texture.set_anisotropic_degree(16)
+        skybox.set_texture(skybox_texture)
+
+        skybox_shader = Shader.load(Shader.SL_GLSL, "skybox.vert.glsl", "skybox.frag.glsl")
+        skybox.set_shader(skybox_shader)
+
+demo = ShaderTerrainDemo()
+demo.run()
diff --git a/samples/shader-terrain/models/skybox.bam b/samples/shader-terrain/models/skybox.bam
new file mode 100644
index 0000000000..d39bf69577
Binary files /dev/null and b/samples/shader-terrain/models/skybox.bam differ
diff --git a/samples/shader-terrain/skybox.frag.glsl b/samples/shader-terrain/skybox.frag.glsl
new file mode 100644
index 0000000000..1703cfd425
--- /dev/null
+++ b/samples/shader-terrain/skybox.frag.glsl
@@ -0,0 +1,21 @@
+#version 150
+
+in vec3 skybox_pos;
+out vec4 color;
+
+uniform sampler2D p3d_Texture0;
+
+void main() {
+
+  vec3 view_dir = normalize(skybox_pos);
+  vec2 skybox_uv;
+
+  // Convert spherical coordinates
+  const float pi = 3.14159265359;
+  skybox_uv.x = (atan(view_dir.y, view_dir.x) + (0.5 * pi)) / (2 * pi);
+  skybox_uv.y = clamp(view_dir.z * 0.72 + 0.35, 0.0, 1.0);
+
+  vec3 skybox_color = textureLod(p3d_Texture0, skybox_uv, 0).xyz;
+
+  color = vec4(skybox_color, 1);
+}
diff --git a/samples/shader-terrain/skybox.vert.glsl b/samples/shader-terrain/skybox.vert.glsl
new file mode 100644
index 0000000000..464d9d2a94
--- /dev/null
+++ b/samples/shader-terrain/skybox.vert.glsl
@@ -0,0 +1,13 @@
+#version 150
+
+// This is just a simple vertex shader transforming the skybox
+
+in vec4 p3d_Vertex;
+uniform mat4 p3d_ModelViewProjectionMatrix;
+
+out vec3 skybox_pos;
+
+void main() {
+  skybox_pos = p3d_Vertex.xyz;
+  gl_Position = p3d_ModelViewProjectionMatrix * p3d_Vertex;
+}
diff --git a/samples/shader-terrain/terrain.frag.glsl b/samples/shader-terrain/terrain.frag.glsl
new file mode 100644
index 0000000000..0f447842c3
--- /dev/null
+++ b/samples/shader-terrain/terrain.frag.glsl
@@ -0,0 +1,56 @@
+#version 150
+
+// This is the terrain fragment shader. There is a lot of code in here
+// which is not necessary to render the terrain, but included for convenience -
+// Like generating normals from the heightmap or a simple fog effect.
+
+// Most of the time you want to adjust this shader to get your terrain the look
+// you want. The vertex shader most likely will stay the same.
+
+in vec2 terrain_uv;
+in vec3 vtx_pos;
+out vec4 color;
+
+uniform struct {
+  sampler2D data_texture;
+  sampler2D heightfield;
+  int view_index;
+  int terrain_size;
+  int chunk_size;
+} ShaderTerrainMesh;
+
+uniform sampler2D p3d_Texture0;
+uniform vec3 wspos_camera;
+
+// Compute normal from the heightmap, this assumes the terrain is facing z-up
+vec3 get_terrain_normal() {
+  const float terrain_height = 50.0;
+  vec3 pixel_size = vec3(1.0, -1.0, 0) / textureSize(ShaderTerrainMesh.heightfield, 0).xxx;
+  float u0 = texture(ShaderTerrainMesh.heightfield, terrain_uv + pixel_size.yz).x * terrain_height;
+  float u1 = texture(ShaderTerrainMesh.heightfield, terrain_uv + pixel_size.xz).x * terrain_height;
+  float v0 = texture(ShaderTerrainMesh.heightfield, terrain_uv + pixel_size.zy).x * terrain_height;
+  float v1 = texture(ShaderTerrainMesh.heightfield, terrain_uv + pixel_size.zx).x * terrain_height;
+  vec3 tangent = normalize(vec3(1.0, 0, u1 - u0));
+  vec3 binormal = normalize(vec3(0, 1.0, v1 - v0));
+  return normalize(cross(tangent, binormal));
+}
+
+
+
+void main() {
+  vec3 diffuse = texture(p3d_Texture0, terrain_uv * 16.0).xyz;
+  vec3 normal = get_terrain_normal();
+
+  // Add some fake lighting - you usually want to use your own lighting code here
+  vec3 fake_sun = normalize(vec3(0.7, 0.2, 0.6));
+  vec3 shading = max(0.0, dot(normal, fake_sun)) * diffuse;
+  shading += vec3(0.07, 0.07, 0.1);
+
+
+  // Fake fog
+  float dist = distance(vtx_pos, wspos_camera);
+  float fog_factor = smoothstep(0, 1, dist / 1000.0);
+  shading = mix(shading, vec3(0.7, 0.7, 0.8), fog_factor);
+
+  color = vec4(shading, 1.0);
+}
diff --git a/samples/shader-terrain/terrain.vert.glsl b/samples/shader-terrain/terrain.vert.glsl
new file mode 100644
index 0000000000..d693451c89
--- /dev/null
+++ b/samples/shader-terrain/terrain.vert.glsl
@@ -0,0 +1,56 @@
+#version 150
+
+// This is the default terrain vertex shader. Most of the time you can just copy
+// this and reuse it, and just modify the fragment shader.
+
+in vec4 p3d_Vertex;
+uniform mat4 p3d_ModelViewProjectionMatrix;
+uniform mat4 p3d_ModelMatrix;
+
+uniform struct {
+  sampler2D data_texture;
+  sampler2D heightfield;
+  int view_index;
+  int terrain_size;
+  int chunk_size;
+} ShaderTerrainMesh;
+
+out vec2 terrain_uv;
+out vec3 vtx_pos;
+
+void main() {
+
+  // Terrain data has the layout:
+  // x: x-pos, y: y-pos, z: size, w: clod
+  vec4 terrain_data = texelFetch(ShaderTerrainMesh.data_texture,
+    ivec2(gl_InstanceID, ShaderTerrainMesh.view_index), 0);
+
+  // Get initial chunk position in the (0, 0, 0), (1, 1, 0) range
+  vec3 chunk_position = p3d_Vertex.xyz;
+
+  // CLOD implementation
+  float clod_factor = smoothstep(0, 1, terrain_data.w);
+  chunk_position.xy -= clod_factor * fract(chunk_position.xy * ShaderTerrainMesh.chunk_size / 2.0)
+                          * 2.0 / ShaderTerrainMesh.chunk_size;
+
+  // Scale the chunk
+  chunk_position *= terrain_data.z * float(ShaderTerrainMesh.chunk_size)
+                    / float(ShaderTerrainMesh.terrain_size);
+  chunk_position.z *= ShaderTerrainMesh.chunk_size;
+
+  // Offset the chunk, it is important that this happens after the scale
+  chunk_position.xy += terrain_data.xy / float(ShaderTerrainMesh.terrain_size);
+
+  // Compute the terrain UV coordinates
+  terrain_uv = chunk_position.xy;
+
+  // Sample the heightfield and offset the terrain - we do not need to multiply
+  // the height with anything since the terrain transform is included in the
+  // model view projection matrix.
+  chunk_position.z += texture(ShaderTerrainMesh.heightfield, terrain_uv).x;
+  gl_Position = p3d_ModelViewProjectionMatrix * vec4(chunk_position, 1);
+
+  // Output the vertex world space position - in this case we use this to render
+  // the fog.
+  vtx_pos = (p3d_ModelMatrix * vec4(chunk_position, 1)).xyz;
+}
diff --git a/samples/shader-terrain/textures/LICENSE.txt b/samples/shader-terrain/textures/LICENSE.txt
new file mode 100644
index 0000000000..e59b601333
--- /dev/null
+++ b/samples/shader-terrain/textures/LICENSE.txt
@@ -0,0 +1,5 @@
+Grass texture from (cc by 3.0)
+http://opengameart.org/content/grass-texture
+
+Skybox by rdb
+http://rdb.name/PANO_20140818_112419.jpg
diff --git a/samples/shader-terrain/textures/grass.png b/samples/shader-terrain/textures/grass.png
new file mode 100644
index 0000000000..79e09bb135
Binary files /dev/null and b/samples/shader-terrain/textures/grass.png differ
diff --git a/samples/shader-terrain/textures/skybox.jpg b/samples/shader-terrain/textures/skybox.jpg
new file mode 100644
index 0000000000..1092bc6aae
Binary files /dev/null and b/samples/shader-terrain/textures/skybox.jpg differ