I just did this to my launch 360 (oct 2005 build) and it worked! I was getting E74 error, I tried xclamp fix,pennies, towel trick, regreased gpu / cpu and still no luck, So finally I tried doing exactly as described in this post (only did bottom, removed gpu heatsink,cleaned off gpu grease before using heat gun). I also put foil around the blue outline areas just in case.
Not sure if this is a longterm fix but still must say Thanks for the info

Quick update, This fix lasted 9 months before RROD (E74 again) so I'd say the heatgun trick is fairly effective, It ran flawless for those 9 months no crashes / freezes, I used a heatgun again and it's back up and running.
I noticed when I took it apart the gpu heatsink bolts were a little loose so that may of been part of the issue this time around, but I used heatgun just in case.
2005 launch day unit still in action lol.