bright orange "stuff" inside STNing sps coral base?

[CHSUB]

this coral was one of my LED losses. it started STNing about 3 months after i put it under LED...when i switched back to MH it started to improve? however, it has since continued to regress. i removed it today only to find this orange stuff in the base where it attaches to the frag plug. any thoughts?

 

[trueblackpercula]

Looks like gel to hold the frag in place to me.
Is it aquacultured?

 

[franklypre]

Looks like glue, but it could be one of those living rock things (Pyura chilensis)