doing a routine check over today i found that the front left shock was loose in its mount a the top (pin type). removed the shock to find this:

sems its been this way for a while and the pin has been wearing against the shock mount, wearing into the pin about 1.5mm and into the metal of the mount probably about 4mm.

tested the shock, seems to be ok, sticks a bit when fully compressed but with a little help it then extends fully in a smooth manner.
so, what i want to know is
1. should i replace the shock? thinking probably yes.
2. what to do about the ovalised mounting hole
cheers
dave