I wish I could answer the question but I am 600 miles from home and my bike. Sounds to me like something is hardened or some one else work harden it which developed some iron carbides. Colbalt drills will not dril thru hardened stuff only carbide drills. Of course Carbide drills need to be used in a machine with rigidity like a vertical mill. They also use a cutting speed twice that of cobalt or high speed steal. The smaller the drill size the fast the surface speed of the drill needed. To give you an idea I used to drill M300 components on the F-14 Tomcats speciffically the launch collar. I used a #41 drill at 7000 rpms and it would go thru a steal roller bearing like a hot needle thru butter.
When I get home I will look at mine to get a better idea of what you went thru, but it does not sound like it was fun.