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Welcome to the Bunnings Workshop community @Spassa. It's wonderful to have you join us, and many thanks for your question about attaching a bath spout.
Your spout appears to use three O-rings, with two located at the top and one at the bottom. There is also a slot, which is where the grub screw locates to lock the spout into position. The O-rings provide the seal and prevent water from leaking at that joint, while the slot allows the grub screw to engage and stop the spout from popping off under pressure.
If the O-rings alone are not sealing properly against the spout, it suggests that something in that area may be worn or deteriorated. If it is not currently leaking, that is a good sign, but I would still strongly recommend refitting the half ring and grub screw, as these components are what actually lock the spout in place. Without that locking mechanism, there is a real risk the spout could pop off the spigot under pressure.
Let us know how you go.
Please let me know if you have any questions.
Mitchell
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