This work describes the development of a hybrid framework of Runge–Kutta (RK), discontinuous Galerkin (DG), level set (LS) and direct ghost fluid (DGFM) methods for the simulation of near-field and early-time underwater explosions (UNDEX) in early-stage ship design. UNDEX problems provide a series of challenging issues to be solved. The multi-dimensional, multi-phase, compressible and inviscid fluid-governing equations must be solved numerically. The shock front in the solution field must be captured accurately while maintaining the total variation diminishing (TVD) properties. The interface between the explosive gas and water must be tracked without letting the numerical diffusion across the material interface lead to spurious pressure oscillations and thus the failure of the simulation. The non-reflecting boundary condition (NRBC) must effectively absorb the wave and prevent it from reflecting back into the fluid. Furthermore, the CFD solver must have the capability of dealing with fluid–structure interactions (FSI) where both the fluid and structural domains respond with significant deformation. These issues necessitate a hybrid model. In-house CFD solvers (UNDEXVT) are developed to test the applicability of this framework. In this development, code verification and validation are performed. Different methods of implementing non-reflecting boundary conditions (NRBCs) are compared. The simulation results of single and multi-dimensional cases that possess near-field and early-time UNDEX features—such as shock and rarefaction waves in the fluid, the explosion bubble, and the variation of its radius over time—are presented. Continuing research on two-way coupled FSI with large deformation is introduced, and together with a more complete description of the direct ghost fluid method (DGFM) in this framework will be described in subsequent papers.