If the shaft is fine and it's just the woodruff key and keyway that are damaged I'd recommend just getting the keyway and balancer cut for a slightly larger key. I don't know if welding is really something I'd care to try, I'd leave that question for a good machinist. I would be much more inclined to just replace the crankshaft than have it sleeved... a crank is very easy to find, especially from a GE Supra or Cressida.
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