Yep, fluid solvers would be nice. The common trick for this type of work is using sprites and then using point clouds the Replicator or Particle Generator to create the cloud mass. (until the recent spat of plug-in fluid solvers for other 3D apps, sprites was just about the only way it was done)

I don' t know if you've seen my tut on this but here's the link: Particle Smoke Trails