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As someone from the Canadian rust belt with a lot of experience on the S30, there is no question that this is repairable and can be made to have the equivalent strength to OEM. It's easy to make things stronger than OEM, tricky stuff is in the crumple zones where you don't want that. This is in the middle of the floor pan, pretty easy place to work and not a crumple zone.
It would be a shame to scrap out a chassis that you have put some time into, and painted for this.
Repair it and carry on. You will just need to find the right shop to do it if you can't do it yourself. It probably won't be a body shop, it will be a resto shop or general welding/fab shop. Most body guys don't know a lot about chassis rust repair or don't want to do it.
If you want it totally stock appearing, sawzall a large chunk out of a car at the wreckers, drill the spotwelds out of the flanges and separate it from the floor. Figure out how much you need to section out to get rid of the rust in your chassis. Cut your rusted frame U channel off of the frame flanges, drill the spot welds and peel the flanges off the floor. Fit the replacement frame section, weld it in, prime/paint/re-undercoat.
If we didn't take care of stuff like this here in Canada, we wouldn't have any S30's left up here. I imported at least 15 240z's from Phoenix in the 90's and some of them needed more rust work than what you are looking at there.
Best of luck, hope you keep it on the road.
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17:39:05 07/06/16
