Roland,
I wish I could be of help here, but without any knowledge of your engine, it is best left to the experts. If it's just rings and valve springs and a new cam, that's not a biggy. If you get into needing new pistons, rods, crank, heads, etc., etc. that's a whole 'nother story.
If they start talking total rebuild, I would think about a "new build" and sell off what you can from the present engine.
I went all alum. for my motor, and love it. All new everything. Not the cheapest way to go, but worth the investment in my book. You will need to weight the costs vs. what you want out of an engine.
If you plan on racing or autocross, I would definetly go alum. just for the weight and balance issues alone. Then there is the "looks side" - check out my photo gallery - there should be a picture or two of my engine in there.
I'm sure you will get plenty of opinions on how to spend your money from this group. Just remmber - It's YOUR Money.
TL