With that turbo, go with option 1. 8.5mm lift with something like 256 or 260 duration will be great for what you are doing. Tomei is probably one of the only places you can get cams these days, right? You may be able to find some HKS or JUN 264/8.5mm cams, but they will probably be used. Not sure how the situation is for cams over there.
Those and some uprated valve springs/retainers will have you all set. Don't forget to have new valve guides/seals and everything put in when you do the head! (though you mention needing new seals, so this will probably be first on your list)
Budget US$ 450 - 550 for cams (Tomei, shipped), $250 - 300 for springs (Tomei, shipped), and $60 for retainers (OEM, shipped). Then US$ 150 for valve seals (IN & EXH, EPP Viton, shipped), $100 for valve seats (assuming you want to replace them, OEM, shipped) and $100 - 325 for valve guides ($100, OEM, shipped, or $325, Tomei bronze, shipped). All my prices are EBay, so take them with a grain of salt. Supertech also sells this cool kit which includes double valve springs, retainers, and seats, for US$394 shipped worldwide.
http://www.ebay.com/itm/Supertech-Dual- ... c4&vxp=mtr
Anyway, good luck!