Thanks for the great game. I played it over 200 hours, and it's already on my top 10 list. I took screenshots every time I find issues in the game. I'll try to upload some of them when I have time. I don't think I have the right answer, so don't take this as an assertive post. Also English isn't my 1st language, so please excuse my grammar.
I partly understand why he's obscured, but fire is clearly a light source. the notion that I can't see an enemy when the enemy is surrounded by fire surface, which is a light source, doesn't seem logical to me.