The insured is a regional chemical blending and chemical manufacturing company. After small-volume testing a new chemical blend “recipe,” the insured commences bulk blend production. During the blending operation, the chemical blend begins to overheat and combust, releasing flammable gases (a calculation error underestimated the exponential heat increase with volume increase). Efforts to cool the blending vessel were unsuccessful, and the insured attempted to move the vessel with an overhead crane to a different area in the facility to isolate the vessel, permit controlled venting, scrub the released gases, and position it away from stored flammable products. During the lift, a short in the overhead electric crane ignited the released gases causing a flash fire that soon engulfed the entire warehouse. The local fire department responded by pouring millions of gallons of water on the fire. The warehouse contained thousands of gallons of completed products, including polymers (that float on water). The water runoff ran into an adjacent storm water culvert, which drained to a stream and two ponds of an adjacent landowner, as well as a significant portion of the insured’s property. Upon notification, the carrier mobilized emergency response contractors who began containing the fire water runoff and conducted air monitoring (a local community college was located downwind of the insured facility). Air monitoring revealed no human health concerns and the fire was controlled to burn itself out. Once extinguished, the contractors began remediating the ground on the site to eliminate and contain any further runoff and began cleaning the streams and ponds. With drought-breaking rain storms approaching, the contractors built berms around the insured facility, diverted runoff to a newly constructed lined retention pond, and set up a battery of frac tanks to handle contaminated water processing and disposal. The proactive measures mitigated further offsite contamination and contained the contamination onsite. This enabled an orderly demolition and debris removal operation, followed by a complete site remediation without further off-site contamination. Thousands of tons of contaminated soil was excavated and disposed of and the stream and ponds were excavated and restored. The clean-up costs were several million dollars, but proactive action mitigated the extent of the damages significantly and was viewed favorably by the local regulators which assisted with permitting during the rebuild.