How to Seal Gap Around Water Heater Vent Pipe

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I recently used spray foam from a can around an exhaust pipe coming from a hot water tank in the opening of my chimney.  I was looking to close up the small gap where the exhaust pipe goes into the chimney, because the gas and electric company said carbon monoxide was detected around the opening.  My question is, do I need to remove the foam and mix up concrete as a long-term solution? The can says the spray foam is a flammable, but I don't know if that applies here since the pipe carries exhaust only.

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