To use the destruction effect when a resource is destroyed you will need a Destruction mesh of your resource static mesh. To create one copy the video below using your resources static mesh.
This will create a destruction mesh in the SurvivalGameKitV2 folder.
Next you need to go to your resource’s resource blueprint and copy the video below, when setting the Rest Collection setting select the new destruction mesh you just created. Below is an example of what you would do in your own resource’s resource blueprint.