Again, sorry for the late replies. I did use white lithium grease (It's what I use on the inside of the receiver/outside of the cylinder, with silicone for almost every other part). Still no luck, though. I'm thinking if I rotated it out one turn that might work, with the issue being that it's too close to the PDI hop up. In any case, it's still the matter of clearances.
And caliber, I believe I know what you're talking about with the screws....mine are still in the plastic, but I think I could get this working if I wanted to. The issue is one of your two screws for the stock slots directly into the threaded area where the receiver and barrel attach, to secure it: the shorter screw PDI gives you is probably to stop the problems we're having. I'm afraid I stripped the threads on the receiver, but I emailed PDI and they said that their parts aren't supposed to line up perfectly and that it turning 1/4 too far was normal. So...when I was screwing it in the toughness I felt was due to the clearances rather than me creating new threads. Phew.
Lastly...mine works perfectly with the normal receiver as well, although I didn't get the fluted barrel because a) it was out of stock, b) I'm on a budget, and c) the normal one is stronger anyway...for all those rough falls. I still would have done it just for the looks if PDI had had it though
Sorry for the essay, just putting all the information I have up for show, so you all know about the difficulties that are probable with PDI outers. Caliber...how did you swap out the screw that secures the stock to the reciever?