yup there is a way to edit the card header to enable the pano function. Basically just a flag to tell the DC that, hey, this card can do pano.
But I find the pano function a bit useless, so never use it at all. It doesn't have stitch-assist unlike Canon DCs. As for the stitching software, well there are many other there that can do the job. The Panorama Factory is a good one.
The only one possible way to make one SM card with the pano enadle , is to buy one USB ZIO Smart Media reader .
There is some one who have create two files that they can work with the ZIO reader ,and they format any card as Olympus one .
If you think seriusly to get the ZIO reader ,then i will tell you more .