Oatey is a great product. I don't think you will have any problems by using this on a tank. But someone will chime in here and say something different. You could always just use Teflon tape sold at any hardware store. But you shouldbe fine by using that pipe dope.
IMO, what you have is a much better choice than tape. use just a small amount on the male threads - as you tighten the fittings, it will spread evenly around and fill any small imperfections that tape cannot.
Thank you, I used not to have luck with the tape, most of the time make me redo it. They also have non toxic ( blue can), but can't find at local stores. This one said non hazardous, so I am not sure it is safe or not.
Tapered threads do not need any tape or dope and your pipe manufacturer may actually recommend against it - those threads are self sealing and shouldn't even be over-tightened. A light hand-tightening will do the trick. (Over-tightening can actually cause the tapers to split the pipe fitting open.)
Straight threads (non-tapered) may benefit from a single winding or two of tape in the same direction as the threads. (I rarely see recommendations to use pipe dope, but that's not exactly a vote against it's use...)
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