i found this picture on a cake decorators myspace page.. i asked them how they did it.. but haven't heard back yet... can anyone help me out?? i don't know what kind of pans to use and how to get the affects on the fondant?

Round pans, carved a little on top and bottom, if the cake was actually dispensing water like it looks like in the picture, maybe the bottom tier was a styrofoam dummy with a hole carved to hold a container of water.

You could make the wood graining on the fondant with a knife. They painted the fondant, to get the deeper color in the grooves, and the darker areas here and there.