http://www.tutorialized.com/tutorial/BlobMesh-Simulating-Water/6356
Glu3D & Reactor : Vermouth & 2 olives with full interaction. Needs Glu3D 1.3 or higher.
25Mb WMV videotutorial.
Base scene - Finished scene - Final video
http://pwrapper.com/tutorials/Vermouth/Vermouth.wmv