steer shaft clearance w/engine?

[tcodi]

How much does an engine move under torque?
I just set up my steering and to clear my headers I had to get pretty close to the engine.
Attached is a picture of the little knub sticking out of the engine and it's proximity to the steering shaft. It has a hair more than 1/8" clearance while sitting.
Am I asking for trouble?
Could I maybe just grind that knub a little bit off the engine, it doesn't seem like that piece serves a purpose; the knub I'm talking about is right in the center of the pic.