My guess is that you're going to get a lot of good advice and options here, so be patient and don't do anything yet.
It sounds like you tried to drill through both wood and metal at the same time If that is the case, with or without a drill press or jig, just mark the lug, pull the barrel, go through the metal, put it back and finish the hole. I think it's the only way, and too many of the pro's advise that.
Me....I am just thanking the guild for all those wooden pegs I put soles and heels on shoes with....