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Future reference on drilling bolts...
File the broken stud end flat. Center-punch the exact center of the stud. This is the most important step because if you are off-center by even a little bit then chances are you will get fuct when you drill. Start with a very small drill bit and work your way up to not larger than the tap drill size. Now run a tap through the hole. Smear some grease on the tap first so it holds the chips and doesn't drop them inside the case.
This method has worked for me flawlessly many times. I don't even bother with screw extrators as I have found that even the good ones don't work most of the time. Once I had one snap off in the hole. Now try and get the bolt out with a hardened extractor snapped off in there!
Good luck with the fix. Looking at your pic with that off-center hole I'm thinking that your only way out of this one is going to be an over-size hole and a heli-coil. I would respectfully and kindly suggest that you should farm that job out as you do seem to be in a little over your head here.
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'99 black 986
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