It's all just conjecture, especially from here where I sit. For all we know this engine just needs a good cleaning....but.... That does look like a pretty hefty pile of something laying there where the rod and crankpin meet [:-]. Really do a good job of assessing all the parts and checking fits, roundnesses, look for gouges, etc. Then tally up the replacement parts cost. OS has reasonable prices on some repair parts if they still carry parts for your engine.
Some guys don't care about the cost so much, they just like rebuilding engines.