Let me start by saying this: I was lost around the middle of part 2...but maybe some dedicated programmer wants to take the chance and make this a plugin? Yeah, I know there is one WIP by lucid, but it depends on extrenal libraries and is somehow limited. The following, on the other hand, contains the bare core with all you need, every formula, code examples, etc. Heavy.
Here is what you learn about the author of the guide:
"Dr. Michael J. Gourlay works as a Senior Software Engineer at Electronic Arts. He currently works as a senior lead software engineer on Madden NFL. He previously worked on the procedural animation system used by EA, and on Mixed Martial Arts (MMA). He was also a lead programmer on NASCAR. He architected the visual effects system used in EA games worldwide and patented algorithms for interactive, high-bandwidth online applications. He also teaches at the University of Central Florida (UCF) Florida Interactive Entertainment Academy (FIEA), an interdisciplinary graduate program that teaches programmers, producers and artists how to make video games and training simulations. Prior to joining EA, he performed scientific research using computational fluid dynamics(CFD) and the world's largest massively parallel supercomputers. His previous research also includes nonlinear dynamics in quantum mechanical systems, and atomic, molecular and optical physics. Michael received his degrees in physics and philosophy from Georgia Tech and the University of Colorado at Boulder."
Here is the link to the first of ten parts of his article:
http://software.intel.com/en-us/articles/fluid-simulation-for-video-games-part-1/