Fireworks pushed by water / fired horizontally out of loaded chunks cause client to hang

Fireworks which are pushed by water fly off into the distance at strange angles. If enough of these are launched (around 10 or so) the client will experience massive FPS loss and eventually become unresponsive. The client will not recover from this.

Set render distance to 4.
Reproduction steps:
1) Create a firework rocket with the following specification:
Flight Duration: 3
Large Ball

• Magenta
• Fade to Purple
• Trail
• Twinkle

2) Place some water so that it is flowing into an empty space
3) Launch 5 fireworks under the flowing water.
4) Watch as fireworks zoom off at a horizontal angle and explode in the distance (more than if they went vertical).
5) After 3-10 seconds the client will experience massive FPS loss.

From MC-82062:

/summon FireworksRocketEntity ~ ~1 ~ {LifeTime:99,Motion:[10.00,0.00,0.00],FireworksItem:{id:401,Count:1,tag:{Fireworks:{Explosions:[{Type:0,Flicker:0,Trail:0,Colors:[1234],FadeColors:[1234]}]}}}}

Code analysis by Marcono1234 can be found here.