So lets see...
She says, " I want us to just be friends"
He says, " If you want us to be friends, I'm going to block you out of my life for good..."
Doesn't make sense to me. She basically doesn't want to date you, but at least she wants to be friends. If you didn't want to be friends with you ex, just say so in a nicer way, like "I don't think I could do that because my feelings for you are too strong"...
Anyway, this is one confusing saga, and I really want to know how to turns out..