Correcting scratched cylinder

So my 2.5L Sentra SE-R has been burning a large amount of oil (around 1 quart/week). It is definitely burning oil and not leaking as there is no evidence of oil in my garage and there is some black buildup around the exhaust. I have taken it to my local shop and they found a scratch in cylinder 1 that is causing this oil consumption. This looks to have happened when the catalytic converter went out and pieces of this were sucked into the engine (which appears to be common on this engine).

I was told that my only option is to replace the engine. Now my question is if I realistically have any other options? Such as honing the cylinder or maybe even boring the cylinder out and using larger pistons or rings? Now I know it is impossible to say for sure without seeing the damage yourself but is this something that I should be looking in to or is there no point?