It worked!
The high temperature's inside the upper chase area are resolved.
This is perhaps one of the few installs that always has a warm chimney but it never gets too hot either.
The modifications I mentioned before have been completed and the chase walls now runs about 100°F cooler than before.
Original chase wall temps were hitting 210°F with the firebox loaded at 60% full and the air damper set at medium.
Running the air damper fully open or burning a larger load of wood such as is shown in their product brochure would have easily hit 230F or more inside the house walls.
Now it runs 90-110°F inside the chase enclosure and the heat loss of conditioned air exiting out the top is also resolved.
After waiting 4 months for RSF fireplaces and the local dealer to come up with a solution they implemented a combination of solutions.
Then the local dealer tried to charge me an additional $1800 in labor and parts on their 2nd service call to fix the issues that have been there since it was installed last October. Fortunately I was able get the labor portion of the 2nd bill removed since they can't really charge 26 hours labor to come back and fix it since it was not installed in a safe and code complient manner in the first place. They were trying to charge for installing inadequate venting and removing it as well as the time to install the right one plus all the original and adjusted components as well. They wouldn't have had to come back at all if they knew more about the heat generated by these systems and gave adequate install guidelines but they had never really tested and evaluted an installed wood burning fireplace before.
This install took a lot of research and calculations regarding convection and conductive heat transfer and high temp material choices. The local dealers install crew also learned a lot and while they may not routinely use all of what was implemented I'm sure that future installs in this area will be safer due to what we learned on this one.
Here is how we fixed it.
New Chase top with better ventilated flashing
The original top vent had rows of small holes with minimal surface area. The new ventilated flashing at the top of the chase has at least 5x the surface area. This should have been used from the beginning.
Chase wall protection
I lined the chase walls with 2" of Rock Wool 2000°F rated Insulation. The R-8.5 insulation value (at 2") protects the drywall from chimney radiation and dropped the surface temperature of the drywall 50°F by itself, almost down to safe levels. 210°F readings are now down to 160°F after this modification. The rock wool was cut for a snug fit and held in place with long decks screws capped with 1.5" washers.
11" ICC brand metal liner
We installed an 11" metal liner pipe around the original 9" (7" ID) dual wall stove pipe. This is an original, optional factory part that they routinely install in Canada but not in the US due to less stringent requirements here. The metal shields the walls from the chimney heat radiation and provides a 1" air buffer around the chimney that allows the heat to go out the top through the new ventilated flashing.
This retrofit lowered the walls temps another 40F down to around 125F now.
We added seven 1" air intake holes around the bottom perimeter of the new 11" liner just above the firestop. This allows it to pull air from the chase area into the liner and exit out the top as it's heated. Upper chase makeup air comes in through a new 4" outside air vent located half way up the chase exterior wall just above the firestop and that air gets pulled into the bottom of the new liner via convection through the 1" air holes we added. In actual use the 4" side air vent was larger than needed and it chilled the chase area considerably. I reduced the upper chase air intake vent down to a 2x3" size and that's working good.
New top air vent for the chase area
The new upper chase air intake needs somewhere to vent the heated chase air into so we also added a 5" round, screened air vent that goes out the chase top. It exits through the ventilated flashing. This allows any heated air to exit out the top using convection only and it works fine. There's no humidity issues inside the chase anymore because conditioned room air is no longer being dumped into the chase as cooling for around the chimney system as was required in the original,inefficient, inadequate design. The new design with a dedicated chase air intake just above the sealed firestop resolved the problem of major conditioned air loss out the chase.
Now it now uses outside air just like the stove combustion itself.
The new air vent design and other adjustments maintains a chase temperatures around 90- 115°F with no fans or automatic electronics needed. The chimney pipe itself is still nice and warm too due to the new liner keeping a 1' warm air buffer around the chimney. I measured 515°F coming out the top of the chimney pipe above the roof while the flue temp at 1ft above the fireplace was at 600°F during a typical size fire. 515°F coming out the top should maintain a nice clean chimney.
New Firestop
A Firestop was installed half way up the chase. It's constructed of 2x4 framing with a floor of Durock board backed with 4" of industrial rock wool. This component was missing in the original design and now it serves 2 purposes, it blocks conditioned air from exiting the chase and of course it serves as a fire stop as well.
It's a 2000°F rated firestop to go along with the fireproof walls.
Air vents... Lastly I need to install some passive air vents that allow the chase area in the living room to dump it's extra heat back into the room. I see temps at the top of this section around 110-120F and that warm air may as well contribute to heating the room rather than staying in the chase. The air vents will be just below the cathedral ceiling with another vent near floor level.