Ohh, that sucks. I thought that rod looked a little funny. Normally, they fail in tension, even when you are making big horsepower and that one clearly failed in compression. Hydrolock would explain why it failed in compression and why your oil is all milky.
That sucks. Maybe you can get a cheap block from the junk yard, like a crown vic to build up and have bored over?
Drove through a puddle in the roadway at about 3am in December and it just seized instantly. 5g and a month later it was all fixed up just got around to opening up the engine to see the destruction.