I changed connection code little bit and it seems working fine - however, it doesn't seems code is executing on remote server, it is executing on sas grid environment itself and not to remote test server.
Goal is executing sas job from grid sas environment to remote test server where we have sas running fine as well.
%let rhost=remotehost.name.com 7541;
options remote=rhost comamid=tcp
netencryptalgorithm=sasproprietary
metauser=userid
metapass=XXX;
signon;
NOTE: Remote signon to RHOST commencing (SAS Release 9.04.01M3P062415).
NOTE: Unable to open SASUSER.PROFILE. WORK.PROFILE will be opened instead.
NOTE: All profile changes will be lost at the end of the session.
NOTE: Copyright (c) 2002-2012 by SAS Institute Inc., Cary, NC, USA.
NOTE: SAS (r) Proprietary Software 9.4 (TS1M3)
Licensed to xxx , Site xxx.
NOTE: This session is executing on the Linux 2.6.32-696.10.3.el6.x86_64 (LIN X64) platform.