First, great project, I’m a “mostly stock” kind of guy, I think you’ve got a good one there.
I sent my K3 head and cylinders to Hondaman for refurbishing, excellent job. Shipping was a little tough from here on Maui but well worth a wonderful job.
As for your tank, it’s totally salvageable. Here are some photos of a before and after tank on a bike I am (stalled) working on. If no one you know will touch it I do, it’s just that he is on Oahu. Great guy, perfect work.
Same tank, he pulled all the damage. He recently worked on my Acty too, another great job.