Okay, I think this is UST's (Survival, Inc.) patent for WetFire. It is composed of 50% magnesium powder mixed with one or more themosetting plastics (cool, I use these same things in the lab!). Looking at the list of chemicals, nothing jumps out at me that would likely dissolve the glue.

I'm thinking they might have got a bad batch of glue or the glue they chose wasn't the proper one for sealing this foil (unlikely) rather than it is being decomposed by the chemicals...unless maybe the magnesium is reacting with the glue. That might be a possibility.

-Blast