looks nice!
In my huble opinion, the terrain is okay, now.
btw, this textures are great, I have to search for my game something liek that, this rocks are great!
Maybe you could add some more trees on the mountains? It looks a bit "funny" with 1-3 huge trees on a mountain like in the first picture in the first post.
Maybe some sprite to have a "filled" horizont like here?