If you're really brave you could drill it out even larger, fill it up with your arc welder, drill out the correct size and re-tap.
Same basic principal as repairing a stripped-out screw hole in wood. Drill out much larger diameter, find dowel rod that matches size of hole (or choose bit that matches dowel rod) cut dowel rod just a hair longer than is necessary, coat with wood glue, tap into hole with a hammer, sand flush, drill pilot hole and reinstall screw.