Electrical Hot wire to ignition help?

I have a wire that corroded, then burnt into. As you see in the pic not much to work with. What is this round block called? And how does one replace it?
 

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1986 GT, right below the solenoid. Their is a series of fuse links. This particular one has 5 wires going into it, counting the one that corroded out, and two wires coming out. I believe the wire that corroded and broke is the hot wire to my ignition. Because I have no power on my ignition. Thanks.
The fuse links for all model years 86-93 live in the wiring harness near the starter solenoid.
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Wiring Diagrams:
See the following website for some help from Tmoss (diagram designer) & Stang&2Birds (website host) for help on 88-95 wiring Mustang FAQ - Engine Information Everyone should bookmark this site.


Ignition switch wiring
http://www.veryuseful.com/mustang/tech/engine/images/IgnitionSwitchWiring.gif

Fuel, alternator, A/C and ignition wiring
http://www.veryuseful.com/mustang/tech/engine/images/fuel-alt-links-ign-ac.gif

Complete computer, actuator & sensor wiring diagram for 88-91 Mass Air Mustangs
http://www.veryuseful.com/mustang/tech/engine/images/88-91_5.0_EEC_Wiring_Diagram.gif

Complete computer, actuator & sensor wiring diagram for 91-93 Mass Air Mustangs
http://www.veryuseful.com/mustang/tech/engine/images/91-93_5.0_EEC_Wiring_Diagram.gif

Complete computer, actuator & sensor wiring diagram for 94-95 Mass Air Mustangs
http://www.veryuseful.com/mustang/tech/engine/images/94-95_5.0_EEC_Wiring_Diagram.gif