Go back to the Retouch Tool and choose Soften.  Use the settings from the image below.  Zoom in to see the left and right edges of the top 1 layer.  Carefully soften these two areas so they look more natural.

Let's add some finishing touches to the fireplace.  Copy the brick inset and paste it as a new image.  Add a new layer for each section of fire you add from your Fire tube.  You can now arrange the layers of fire in a pleasing way.  Once you like the way they look, delete the brick layer and Merge Visible Layers.

You can now add your log grate, the logs and then the flames you made, all on their own layers.  Here is how the finished fireplace looks with a fan screen in front of the fire.  You might also want to add some special touches to the front panel of the fireplace such as a cutout design or other 'carved in wood' looks.