Hi Wolfy,
Thanks for being the first one to post to our Question & Answer Board! Below is copied directly from the SDI (Steel Door Institute) web site.
ANSI A250.8 paragraph 4.2.2 addresses the grouting of frames. The Steel Door Institute does not recommend grouting of frames, since often contractors will mix the grout into a pumpable solution, as opposed to the optimal consistency which is hand troweled. Pumpable grout solutions contain too much moisture and can contribute to rusting of the frame from the inside out. It is also important to note that grouting of frames is NOT required for fire-rated frames.
Hope this helps and thanks again!
Steve Behrens http://www.commdoor.com/contact.html