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If it's not over filled the output bearing doesn't get enough lube. That's right from stock. Poor geometry. I had one just like that except the race spun in the case. Case is junk. If the case is junk you have nothing but a pile of parts.
There's a reason the production run of the nv5600 was only 4 years and the G56 is approaching 10 years and counting.
It's silly to fear an aluminum case and believe a cast iron case is some how superior. Go shift a G56 truck they shift like heaven compared to the slow clunky notchy nv5600.
There's also a few aluminum cased transfercases I'd choose to use long before a np205 as well.
Locktite green is sleeve retainer. I can double check the number for you in half an hour. It well may work to hold the race in. But your on borrowed time the second you put it to work that way. Is it worth it? Just depends on how often you like pulling 250lb transmissions and spending a metric ****ton of money on them.
What year is it? If it's a 1 1/4" I out shaft. You are using a 12 1/4" clutch and you are no stronger than an older nv4500 input. Because they share the same input. The late 2000+ use a 1 3/8" input with 13" clutch.