I haven't done either, but I think I'd go with option #1. If that fails, you can always try option #2.
As I understand it, the stud isn't off in position - just angle. I'd retap for the repair stud being careful to keep the tap perpendicular to the face. I did do a heli-coil for a head stud and rigged a guide to keep the tap straight.
Some JB weld on install and it should be fine. I think I'd use the manifold to keep the repair stud straight while the JB sets up.
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