As I understand it, Damascening is a process of mechanically affixing gold foil or wire to a steel or iron substrate. The burrs don't have to be much more than microscopic, and the gold can be .003 thick. Prepare the surface by raising burrs, in three separate passes in 30 degrees increments, so that the surface looks like a double cut file. Lay the gold on, and tap in down with a brass punch, an then burnish. The edges of the gold may be engraved later to define the pattern, and the gold may be engraved into, to have the steel show through.
Save your chips!
Tom