I can't actually tell if this is a realism mod or a troll mod. Your description leaves something to be desired here, and going through a number of the posts in the Discussion tab didn't help. I still can't tell if this is a mod that makes oil flammable and dangerous like it is irl, or if you've made a mod where oil spontaneously blows up for no apparent reason, taking everything with it. Without knowing which, and no desire on my part to add to your download count just so I can figure it out myself, especially if it's a troll mod, I'll just have to leave this mod be.

If a entity which holds fluid has a flammable fluid in it, and it is destroyed, it will explode and catch fire.

The damage scale with how much fluid is in the fluidbox, so really full pipes will chain reaction and your whole factory will go down in flames

Ah, so it's a realism mod. Thank you. Downloading...

Is it possible that, if you have a full tank of fire retardant material nearby, and it explodes along with the destruction, will it help suppress the flames?