What would cause this error when upgrading Panels module?
For some reason, the "cache_panels" table of panel used for cache is missing.

It's reported as an issue for this module.

To solve this error, first, I strongly recommend to do a backup of the database before make any change (even before do a drush updb or update a specific module as you are trying in this case).

You cloud try one of the following solutions:


Using drush, follow this proposed solution.
Using a SQL query, follow this other solution.


I recommend you to use the first alternative as I see that you use drush.