So replaced heatsink by https://www.aliexpress.com/item/1005002536334210.html - it’s Waveshare brand, match all the specifications but it’s little bit noisy - will be adding also https://www.aliexpress.com/item/1005001710082330.html, suggested by @spkesDE 
The top lid can be closed without any problem, there is even more space compared to the bigger heatsink I used before.
Beware - the cage needs to be de-soldered due to the mounting mechanism of Waveshare fan.
Do not comment on way I connected it unless you have some good recommendation instead But voltage wise seems to be fine for HP23.
Impact on the temperature (please note my HP23 is not like yours, it’s always and permanently doing something) - past 30 days - fluctuates between 49C-52C
(first is stock - reaching even over 80C, 2nd is heatsink I posted above, 3rd decrease is fan)
IR photo
