Very slow.
Go slow and keep a bucket under the area being drilled to catch the material being removed, and a good clean up when done. You won't want to see the stuff on the shop floor catch from an errant spark while grinding your next blade.
Get a scrap piece of wood 1"×1"×4" and using a drill, notch out a 3/8" wide divot, half the height of the ferro rod laying on its side. Anchor the board in your vise with a few inches hanging out, Zip tie the ferro rod down to the board and hang the bucket handle off of the board.
This will offer support to the rod, hold the bucket close, and allow for a stable work surface.