You either remove the wall and fix the plumbing or live with a old soon to leak faucet and a back hurting kid height counter and laundry sink there. Removing tongue and groove simply isn’t so difficult that it would be off the plate for consideration.

The 3/4 plumbing is also run through the 2x4 studs as well,into my attic and crawl space. I was thinking I could install a stand up utility sink and butt a cabinet, countertop up to it, there would be a finished 3"difference in height. The spigots have been there for 60 years and haven't leaked yet and the bonnets can be replaced without removal,

I need pics please .

Pictures, pictures, pictures.

The plumbing cannot move,it's behind finished 1/4 inch TG

Interior wall or exterior wall? How is the wall finished on the other side?

Lots of ways to finish a wall above a sink. if you cannot re-use or match the existing. Starting with a tile backsplash...

The 3/4 plumbing is also run through the 2x4 studs as well,into my attic and crawl space.

All the modifications could be probably be done low in the wall, below counter top level--and hidden by a cabinet.

Could be, in theory. In the real world, I would opt to do some modern materials replacement. It is almost certain that 60 YO piping has a lot of internal corrosion and is at or near the end of its life expectancy. What material? Galvanized, copper,.....?

Interior corrosion old galvanized water pipe

Thanks everyone,I think I am going to scrap the sink idea.pull the spigots install plugs and place a standard cabinet with granite countertop.

If you have a water shut off to that plumbing,make sure you shut that off too, just to avoid future problems.

Lorraine leroux came up with the solution to my issue.such a simple idea "flexible pipe" don't know why I didn't think of pex myself

Gary Crabbs II LOVE PEX!!!!!