Mighty Thor 34 wrote:
So at a moderate curse level a flames oracle becomes concealed to all enemies as they become shrouded in smoke (Unless of course they have a way to overcome that concealment)
That's not true. Read it again - the smoke only fills the Oracles eyes, while from an outside perspective "harmless flickers of obscuring flames fill your space".
So no smoke here, just harmless flickers of flame. This seems much closer to the effects of Mistform, Radiate Glory, and Flicker - all of which have some variation of (taken from Flicker) "As usual for concealment involving an obvious visual manifestation, you can’t use this concealment to Hide."
As a GM I might side with the player to provide them this additional benefit just because RAW it doesn't say otherwise, but I would be really surprised if they don't errata this when they get around to the APG.