LMAO, well Grass, maybe if those were full cans of beer, I might consider your kind offer...
I didn't know they made bushing or aids to help center the drill bit. I think drilling and retapping is a little beyond me so I think I'll take it back to machine shop for that and maybe I can get her back on the road. Hindsight is 20x20, and I probably should of taken it to a machine shop instead of the Mitsubishi dealership.
As far as bolt length and all, everyone, the mechanics at the auto-crafts shop that were helping me, said the same as the mechanic at the dealership; the bolt had to be cross-threaded when I had the timing belt replaced. Like I said, we tried everything: we had a 1/2" impact wrench, then removed some more stuff out the front and got a 3/4" impact wrench in there and it still didn't break free, breaker bar, extension pipe and sledge hammer and the engine just turned over. With my friend (who was a mechanic prior to the Army) plus the guys there at the auto-crafts shop, we tried everything.
I would like to fix this, if possible. I'm going back to Iraq in November and it was going to my oldest son, so he is heart broke. Everyone talks about the durability of these vehicles, before moving into Iraq, my assigned vehicle while in Kuwait was an identical Pajero and those stood up so much better than the other SUVs, especially the American made but even the Toyotas and Nissans that were there.
Thanks for all the comments, I'll let you guys know how it goes.
Doug