Assuming the damage is limited to the cylinder, I think I'd bore it and go oversize.
Or maybe just get a salvage engine.
You need to keep the bike, it has a soul.

2005 Model . Two Fast Eddy stickers , a bell and a clock . She's Lola . She tinkles and keeps time . http://s649.photobucket.com/albums/uu211/britbike05/