Forgive me if I am trying to teach you how to suck eggs, but I feel I need to try and explain some about 2strokes to you.
Please do not take offence.
While they are very simple engines they rely on everything being in good condition, no oil, time and condensation are your enemy, judging by the bottom of the cylinders you have had condensation or water enter the bottom end, specially as no oil in the crankcases too for the gearbox.
1mm gap on the piston rings is a lot, unless you have a very good bore gauge you can't tell if the cylinder is oval or not, as you are into the engine its best you check everything now, take your cylinders to a 2stroke specialist to get them checked, rather than half checked and put it back together only to have it fail after a couple of miles, you may need a re-bore and new pistons / rings too, piston to bore clearance needs checking too or it will rattle like hell, and then fail.
I suspect the crank will also have some rust on the conrod bearings and main bearings, even if a little it will fail soon, its not like a 4stroke, although a 4stroke will still run quite well with wear on it, a 2stroke will fail fast unless well within spec, if just within spec replace or repair, its most likely that the crank will need a re-build too, because of damaged bearing due to rust, again I suggest you take that to a 2stroke specialist for checking too.
I would suspect that all the bearings will need replacing and all the oil seals in the engine, as the oil seals can go hard and not seal anymore.
You have gone this far, its wise to make sure now that everything is correct, or you "will" regret it when you hit the power band and it goes bang, you will then have to do all this again, and could cause irreparable damage, leaving you needing another crank re-build ( they can only be re-built 3 times max) and another set of cylinders.
If a ring snaps it can damage piston and bits then go down into engine and destroys the crank bearings, as well as damaging the bores, sometimes beyond repair.
Sorry to be the bringer of doom, but I feel you need to know all this before you go any further.
I write all this because of the questions, it would seam you are not that familiar with 2stroke engines.
I wish you good luck with it, and I hope there is not any rust or too much damage anywhere.