We need proper fluid physics
While I was testing my MultiBlockChange code, I accidentally found a terrible bug in fluid behavior - on a flat terrain, lava from a single bucket spreads indefinitely in one direction. And I mean indefinitely. So far I followed it about 50 blocks, then I lost interest

Hmm, seems like a regression in my current modification, but still, the fluid physics are wrong anyway

No, not a regression, testing with the very same beginning conditions makes the issue stand out even in current SVN version (rev 785).
Attaching the world.ini for generator settings and Core's main.lua for post-generation hook creating evenly spaced patches of grass. Place lava on the grass at {8, 66, 8} and watch it spread.
Here's a picture from my client:
[
attachment=110]
I told you about it long time ago

Well, you didn't provide much of a replicate-able testcase.
Now, what's even worse, it seems the current fluid simulator has some memory problems and breaks the heap, usually resulting in a crash inside Lua.
It happens almost 100% regularly that I place a bucket of lava in a flat world and after a while the server crashes. If not directly, then for sure at next start when the world is loaded again.