I am able to play that stream in VLC now.
With RTSP playback (m3u8 playback is HTTP) there is a 10 second delay that is caused by the player failing over from UDP to TCP. I can tell because of the 10 second delay and that there are duplicate audio and video info blocks in Tools > Codec info, which is what VLC displays in this case.
The solution is to properly configure for RTSP streaming and open all UDP ports. Follow these two guides carefully:
Keep checking VLC Tools > Codec info as you are testing.