The Casting Channel acts like the fluid pipes from BuildCraft. You can directly connect one to a Smeltery Drain and right-click the Channel to extract liquid. It is also possible to put the Channels underneath a Seared Faucet.
Casting Channels are not in Minecraft 1.10.2
The Casting Channel is very realistic, as it prioritizes the option for the liquid to go down. This can be used to filter the liquids into Seared Tanks, or any other type of tank. When the input is greater than the output the liquid will still be transferred down and will not flow to the next block unless the output is full or not valid (for example filled with another liquid).
When flowing horizontally (no chance to drain downward), the fluid will try to flow away from the point where it was introduced to the channel. However, this works somewhat similarly to the infinite stair optical illusion. So if you have fluid stuck on the opposite end of the channel, you can take more channels and lead the fluid back to the start. If there is no exit point, the fluid will flow in a
circle rectangle indefinitely. This needs more testing on channel setups more complicated than a 2x2 square.
Horizontally speaking, the Casting Channel will flow into some other blocks (such as tanks and drains). However, you can't take liquid out of something using a channel. You must put a faucet against the input block (taking from a tank or a drain) and above the casting channel.
Right-click on the side of the hit-box to change the connection in that direction. Useful for cutting off outputs your not using at that moment.
There are ways to take advantage of specific behaviors of this item. Feel free to add in your own strategies.
Usually, you right-click Faucet, wait to fill, wait to cool, take item, and right-click faucet again because the Faucet automatically stops when it can't go anywhere. If you instead put the faucet above a Casting Channel that is connected to at least one other channel, and then put multiple outputs(Basins or Tables) below those channels, the faucet will not stop flowing so long as you are collecting the material as fast as the faucet is providing it. This system is faster, though there is a little more down-time in your clicks, and you still have to keep watching the output. Usually, this strategy is used for creating bulk items (like Clear Glass, ingots, or other building blocks).