My initial question dealt with the possibility of double side cooling the LD chip (similar in concept to the double side cooling of a hockey puck SCR package). I was looking for something that doesn't give off fumes (that could possibly coat the output coupler) and doesn't conduct electricity.
Some of the lower power LD can have a junction-to-case thermal impedance of 250 C/W. So if the case is at 70 C the junction can be 95 C. If you look at the thermal network from junction-to-ambient the net thermal impedance is dominated by the junction-to-case thermal impedance. The goal of my question was to attack the most dominate thermal impedance in the thermal network to minimize the LD junction temperature and permit higher power operation (assuming no optical damage).
So, even though there is probably very little thermal stratification perpendicular to the junction, providing a parallel thermal path from the exposed side of the LD chip could offer a significant reduction in the junction-to-case thermal impedance. A 20% reduction in the junction-to-case thermal impedance is worth more than having an ideal heatsink connection to room temperature on the aixiz case.