I would suggest "Brain Grease" it is a dielectric grease for the distributor modules in Gm ignitions for many years.(also others)
Usually white and awfully sticky to get off yer finners, reminds me of white lead for lathe centers.
opps, showing my age here.
I would not think anything is wrong with going to a course thread 12-24 or even
1/4-20 unless there is some electrical code that specks a panel cover size fastener.
A course thread would allow more meat and be less likely to strip thin metal.
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