This is my specialty.
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Stock duration on the 1.3 8V cams is 192 with .330" lift. 1.6 cams are 202 duration, and .356" lift.
You don't want to drop any in the duration. Its already a little too low. Keep lift at, or below .400", and you will be fine. A reground cam is fine for your application. Don't waste money on having one welded. Its costly, and unnecessary. Several
More lift is a gain but lots of lift can be tough on the valve train (found out the hard way)
I would not exceed .395"
In the DIY build which was an engine that went in to a Kick, Zag used the following specs - Custom Cam 208 intake/211 exhaust duration- .380 intake/.385 exhaust lift
He was originally going to use 226 duration with .395 " lift in the engine for the Kick which was what he was also originally going to put in the plane engine but ended up using a 228 duration with .415" lift for the plane which he did say he thought was too much for car.
suprf1y just recently made this recommendation to me-
"Looking at my profiles, I would suggest either the 216/375, or 226/395.
Get in as much lift as possible, to around .400" and go as high as mid 220's duration, but not less than 210 at .050"