Sorry, hit enter too soon...

Here is the bug description:

The problem is that when a ship (in my case an AI ship) takes fire, it will eventually sink but the fire will not stop when the ship is fully under water, on the bottom of the ocean.

My guess is that it's because there's fire in a sealed compartment, so that it won't be extinguished by sea water (I've seen the flames on the deck disappear when the ship entered water).

What I haven't been able to find out is whether or not that sealed compartment was breached or not.

If it wasn't, then it's half-OK that the fire won't stop (it should stop when there's no more oxygen, but that's a bug I can live with).

If the compartment was breached (and it should, as the fire should have breached it), then it's a bug, the fire should have been put out by sea water.

Here is a screenshot of the culprit:

https://imgur.com/a/PjBzm1u

It's happened to me recently too, my ship was completely flooded and it was still on fire.

Thank you for report. It's probably some air pockets that water is not reaching and that keeps the fire on.