I like the idea of the filter being closer to the compressor to catch oil immediately. Maybe that isn't necessary? First thought I have is wrapping it in exhaust tape, it has a release valve at the bottom of the housing. Second thought is mounting a heat shield from the inner fender to somehow box-in the filter housing. Third, maybe a coiled copper line.
I have pictures of yours from a while ago. Using a trans cooler if I remember. Which is also a good idea. The leader hoses are ok, the mister is ok--just this internal filter which means the oil is scorching hot. So now my options mentioned above are not the solution...