Imagine you take a few ounces of water to put out the flame of a candle. It will extinguish it right away. The water will still be cold because not much heat energy was stored in the wick.
Now imagine a cast iron pan heated to 400 degree. Toss the water in the pan or dip the handle in the water for 5 seconds. The water will flash boil. If you put your face near the steam that rises you might even burn your skin.
When your oven mitt is wet, the water it contains will steam out hotter than boiling water and burn your hand very quickly.
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