Are you sure its fog? Try the command to turn fog off (SET FOG OFF I think)
As its solid and blue it sounds more like the 3D background.
If your matrix is bigger than the camera range ( I think it defaults to 3000) then anything beyond that will be hidden by the 3d background - which is blue by default.
You can fix this 2 ways. If you make your matrix less than 3000x3000 you should be able to see all of it.
Alternatively increase the camera range (SET CAMERA RANGE command) so that the maximum draw distance is larger than the size of your matrix.
Of course both of these will result in more polys on screen and a slower frame rate (although I'm running a 50x50 tile matrix over 50000 units and a camera range of about 10000 without any difficulty)