THE AIR CARRIER B 737 300 WAS ON TAKEOFF ROLL, WHEN THE AIRCREW WAS ADVISED BY OTHER AIRPLANES THAT 'SMOKE AND FLAMES WERE...COMING FROM THE RIGHT ENGINE.' THE CREW ABORTED THE TAKEOFF, STOPPED THE AIRPLANE ON THE RUNWAY AND ORDERED AN EVACUATION BY THE EMERGENCY SLIDES. NONE OF THE 5 CREWMEMBERS NOR THE 128 PASSENGERS WERE INJURED. THE ENGINE FIRE WAS SUPPRESSED WHEN THE ENGINE WAS SHUTDOWN. THE FAILURE WAS CONTAINED TO THE ENGINE INTERIOR. EXAMINATION OF THE ENGINE REVEALED A HIGH CYCLE FATIGUE FAILURE OF 2 BLADES OF THE STAGE 1 HIGH PRESSURE COMPRESSOR.