Seems a fair trade of some needful work to off-set the bargain price of a very nice but usually pricey engine. When buying remote so you don't generally get to see it run first, it should come as no surprise that key elements are not as they should be. Redoing cylinder rings and a bit of paint seems a very good trade for such a nice "Bargain" engine!
You've certainly done well with that one Steve!!!
How about just clamping a brass band or two around the cylinder to give it more definition and a touch of bling?
I must admit though, that the gray it currently wears has industrial written all over it, and that's okay with me!