Quote: "Going by this Official TGC screen shot fire is already possible....They just haven't put it in our build yet..."
I'm fairly certain that fire is just the animated sprite from the classic animated sprite pack. They didn't even place it correctly in that screenshot as you can clearly see it is behind the barrel instead of in it. So, yeah, this is already possible using animated sprites. I used that same fire effect in one part of my game demo.
System Specs: OS - Windows 7 Home Premium 64-bit SP1, CPU - AMD Phenom II X4 945, 3.0Ghz, RAM - 8Gb DDR3, GFX Card - 2048MB NVIDIA GeForce GT 640, FPSC-R Version - Beta 1.0085