No, it doesn't work.
The first thing I found is that using
TERRAIN SPLIT causes problems. This must be due to the split creating limbs. So the chances are, ODE will have problems with any object with limbs.
I created a terrain with no split. For a start, this restricted the terrain height map to 64*64. Secondly...it still didn't work anyway! It didn't crash, but a cube fell straight through the landscape. I tried reducing gravity and mass to slow the cube down, in case it just wasn't registering. But this didn't work either, even though the cube successfully landed on a platform I'd placed below the landscape.