If engine is correct why not cut the pipe at the joint and shorten by a bees dick and reweld the pipe giving you a solid finger clearance to tower? How bad is clearance around the steering column etc?
Target is 1.25” offset to the passenger side, but the motor sits at 1.125” offset to the passenger side. Header clears now, but it is tighter than I would like. I think it would be fine with a little push on the inner fender.