it should, Palomino has a lower core voltage, like 1.2V,
but according to overclockers.com, it is not the Voltage that matters, cause it could be fixed by a BIOS flash.
the problem is the amphere, which I forgot how exactly would that effect it.
anyhow, Ali magik should work with palomino... but it shouldn't concern you so much though, coz the working frequency of palomino is expected from 1.5 to 1.7 only, then a new core (Thoroughbred/Morgan) will replace the Tbird/Duron core.