I was gonna say, it's an old valve facing tool. The valve stem goes in the vee block, valve goes against the depth stop, the "block" held by the bolt runs against the face. I'm almost betting that's a fine stone to slowly "grind" the face flat.
DING! We have a winner! I can finally sleep again knowing what this thing is. Thanks bleonard and everyone!! The cutter looks like HSS. It is slightly angled on the sides. mumbles, that Sioux is a work of art.
John
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