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Listen to Bill, although it sounds like the engine is in like new condition/fresh water, so am guessing it is just the stiff grommet holding the water tube into the impeller housing.
Has the gearcase moved downward at all? Are you sure all the gearcase bolts have been removed? Like you said, there are two bolts facing upwards towards the rear of the gearcase, and one facing down towards the skeg at the front of the exhaust housing.
Make sure the gearshift is in forward before removing the gearcase. This won’t affect being able to remove the gearcase, it will just make it easier to reinstall it.
Post some pictures if that will help us understand what you are dealing with….D