Hi yes I agree, however from the photo in that post 4 it is clear that there was access to chisel it out. I do not have that luxury at the moment as the steering rack and subframe are in the way. Hence the need to drop it.

 

Then I'm with Addicted, ...back the trans out...I'd get an estimate as well, you never know.

 

Ok, sometimes you come across something that may help, even though it isn't a direct solution to the problem.
Came across this YouTube vid and on top of the way this guy handled it, I have an idea from that. You can go to the 1:45 mark and watch to the 3:00 mark is all you need.

Now here is the NOT direct solution as the video.
You will probably have to back the trans up, but not nearly as far.
Your going to need a socket larger than the hole for the sensor and a socket almost the same size as the hole, but must just fit into the hole. The smaller socket must fit into the larger socket. A 1/2" drive set will work best. Try soaking both sides with penetrating fluid.
You'll need a bolt and nut (grade 8 preferably, but no less than a 5) and probably at least 11mm, that fits in the socket and that will go all the way through to include both sockets to the other side.
You can do similarly as he did and put a hole in the bottom of the sensor cup as centered as possible. Probably have to use an angle head drill if using a bit, which I know will be difficult at best.

Then take the sockets, put the bolt through one, insert through the cup, put on the other socket and nut the end, you'll need a washer also. Then start ratcheting, the smaller socket should pull the sensor cup through into the larger socket. This may not happen at once, you may have to draw tension, let it sit for 10-15 minutes and let force take effect. Then apply more tension, and you may have to wait again, unless you notice movement and it draws out and you should be good.

Please forgive my poor attempt to use Word (hey, I at least converted it to a pdf), I'm much better at Paint, but I think you get the idea.

 

Thanks for the tips.
Trans out would be good enough to do it I know. Access to the hole would be great. I am presuming it is not easy to drop the trans on a driveway..... If it is then great.
However, I need to subframe dropped to replace the V mounts anyway. Plus while it's down I need to get a couple of plates welded on the inner chassis rails next to where the mounts bolt in. This all involves a ramp to get it in the air which I cannot do for a month or two. Updates then.

Thanks