What effect is used in this image?
Knew this style looked familiar. Took me whole day to remember what plugin it was.
( Not 100% sure the same plugin was used in your example image, but it's at least very similar )
Fractalius plugin creates unusual, eccentric artworks in a single step. The effects are based on extraction of so-called hidden fractal texture of an image. You can also simulate various types of exotic lightings and high realistic pencil sketches.
Example of an image made with Fractalius:
Tutorial for using fractalius:
http://techfleece.com/2011/01/30/fractalius-tutorial/ - Had a second glance of this tutorial and you'd probably find better ones with google.
Can also look into this very popular plugin package called Topaz Glow available from their website as a trial or to buy.
Screenshot from their website, and yes it does really work this well. I haven't bought it yet but have done the trial and am considering it