I would take the top end apart as soon as it freed up, and rebuild it, or at least inspect it to make sure everything looks okay. If it was seized from sitting, it needs some attention! The steel rings wont magically "unfreeze" themselves from the piston, there is corrosion and pitting there! You may be looking at only new top end gasket kit (including valve seals), and rings with a fresh hone, which is well under 100 dollars. By the sounds of it, its worth sticking a few bucks into to have it last for years to come.
THE 80's RAGE! Currently owns:
81, 85 Yamaha Tri Moto 125
83 Yamaha Tri Moto 200 x2
82,83 Yamaha Tri Moto 175 project
85 Yamaha Tri Z 250
84 Kawasaki Tecate 250
84 Honda ATC 70
85 Honda ATC 350X
84 Honda ATC 250R
(2) 84 Honda ATC 200x
82, 83 Honda ATC 185s
81 ATC 200
Lots of other parts and bikes