mohicks,
a warm welcome to our forums! I promised in my e-mail earlier that I would look into this for you, but I msut admit it is hard to find anything.
Well, to get anywhere at all, I think this topic has something to do with chaos theory and brownian motion.
I found this article:
Testing the limitswhich does not mention weather prediction exactly but it mentions the butterfly effect.
Quite a difficult one, this. I'll keep looking, hope others will help out as well.
Tormod