There is no size limit in that sense. The only limit is floating point accuracy, because the computer stores the model's data as 32-bit floating point numbers. Space simulations are the only type of game that have issues with this limitation.
Dig-able terrain is definitely possible in DBPro. It will involve a lot of vertexdata manipulation. Things to search for on google might be
voxel terrain or
deformable 3d terrain.
There are thousands of methods for randomly generating terrain. Start with one of the easier ones, 3d perlin noise.
The only way to do great work is to love what you do -- Steve Jobs