Picked up my $36 Ebag Mini Starter today.

i bought the same one back in the fall and just got around to mounting this week, along with the headers and all the hassles. i had a problem with the large electrical lug hitting the block so i cut it down some and it seems all right there. then the stater housing hits the header tube so i guess i need to ding it there. this is a 383 so i hope you have better luck. im going to make sure this thing works before i lower the engine back into the bay thats for sure.

In the past I have removed the electrical extension piece and ran my wires straight to the starter. I had the same problem you did.