Hello Gunner,

One technique that has come in handy for this type of job is a plunge
router with a circle-cutting base plate. It is best to use a heavy duty
router, and a carbide cutter, a bit of cutting fluid, and aluminum
machines quite nicely.

It is a combination of heavy woodworking tools augmented with carbide
cutters. With the router set at 20k rpm, it seems to work nicely.

It is best if you use a backplate of wood to insure the dowel, and the
o.d. of the part you are cutting don't move when things get detached.
Otherwise things can get exciting. A couple of clamps will keep the
gauge plate fixed w.r.t. the dowel.

Leaves a nicer finish than most other tools, and is more accessible than
the milling.

Use at your own risk...

Guy