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Dave, I am in the clean it up for now camp.
As others mentioned rough the area up, neutralize and then a light coat of por-15. It does not look structural from the pictures. Let me know if you need any help. With all of the work you put into that car this can not mark the end of the relationship. Pick up any British Car magazine and look at some of the rust buckets people in the UK repair and you will see this is merely a blemish to them.
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(6) cars currently in my garage:1976 Porsche 912E #627 Ascot Green 1986 Ferrari Mondial 3.2 Coupe Brown/Tan 1986 Porsche 911 Carrera 3.2 Paint to Sample Brown/Brown 1985 RoW Mercedes 420SEC C126 Coupe Brown/Tan, 1978 Alfetta GTV with a TwinSpark, 1997 BMW Z3 1.9 Boston Green/Beige 5speed
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