I also emailed Copper Development Association - www.copper.org - Info on copper and its alloys. about this same issue, and this is what they had to say about it:

Your question was: The heating element on the inside of a smoking device I own is made from copper, with gold plating. At high temperatures (around 1100* F), the gold plating starts to slip from the copper surface and cause pockets between the gold and copper with what seems to be a gas occupying the volume. The largest of these bubbles are around .025" in diameter, and .005" raised.

I am worried that the gas occupying the bubbles is Copper Oxide(II), and may be a health concern. Could copper oxide (II) be created in this environment?

Response:

I doubt that either cupric oxide CuO or cuprous oxide Cu2O would react in this way. The oxides of copper are not found in the gasseous state. I suspect the gold plate is there to prevent oxidation of the contacts.

As for any health issues copper is an essential element for humans, plants and animals. Please see the articles on the CDA web site under "Copper and Human Health" and "Copper and the Environment".

Regards,
Lou Lozano