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Localization method based on skyline for visual geo-location is an important auxiliary localization method that does not use a satellite positioning system. Due to the computational complexity, existing panoramic skyline localization methods determine a small area using prior knowledge or auxiliary sensors. After correcting the camera orientation using inertial navigation sensors, a fine position is achieved via the skyline. In this paper, a new panoramic skyline localization method is proposed that involves the following. By clustering the sampling points in the location area and improving the existing retrieval method, the computing efficiency of the panoramic skyline localization is increased by fourfold. Furthermore, the camera orientation is estimated accurately from the terrain features in the image. Experimental results show that the proposed method achieves higher localization accuracy and requires less computation for a large area without the aid of external sensors. [ABSTRACT FROM AUTHOR]