This image consists of three separate shots taken with the D-Lux 3 and then stitched together (by hand) in Photoshop to create the panorama.
The camera was handheld, no tripod was used.
This view is of Point Montara, California. You are looking North up the coast. San Francisco is about 25 miles up the coast. The lighthouse and hostel are directly behind you as you face north.