Group of necromancers attempted to cast animate dead on a dragon they found, hoping to gain a powerful ally, but instead all of this darned fog appeared. Turns out it wasn't a red dragon like they thought, but a mist or fog dragon (Draconomicron, I think), and all it really did was annoy its spirit, so it retaliated in one of the few ways it could and blanketed an already foggy coast until it can be appeased or put to rest. This might also allow you to give the fog an extremely faint trace of necromantic magic - which could give an eerie edge to your campaign, and keep the PCs on the toes, and explain why villages are more hesitant or spooked in general.