The block heater I have on the IDI has a little bar that goes inside the block and a SS bolt that goes through the block heater which is larger than the hole on the block. All I did was press it IN and tighten it until I saw the O ring squeeze in the hole. I do remember using permatex but I didn't know it was a requirement it was meant to be a precaution.
On the block heaters those are put in with just a lubricant around the oring when new, but when re installing on old engines you are dealing with old pitted metal that won't seal like new and some RTVwill be a life saver