Bava Batra 97 - Wine Made of Dregs
Water in which wine lees have been steeped is considered as water, and the blessing over it is "Who created everything with His word," but others say that if this water has the flavor of wine, the blessing is "Who create the fruit of the vine."
If he poured three cups of water and when the liquid was decanted four cups were produced, all agree that it is wine, due to one cup of wine added from lees. If three cups were produced, all agree that it is water. They argue only when three and half cups were decanted. The Sages say that three cups went in and three cups came out, so only one sixth is wine from lees, while other says that of the three cups that went in one half cup remained, and two half-cups of wine came out, making the mixture strong enough.
Art: Pompeo Massani - The Wine Merchant