I know quite a bit about what not to do, I've tried, and mostly failed. I'm assuming you are talking about Minnesota Pipestone from the SW corner of the state. Its pinkish, and the hardest of the several stones that are called pipestone, I think some of the others are also called catlanite.
I cut it into blanks with an old handsaw, it will dull a hack saw, bandsaw or anything else you use. I have cut it to shape with a cut off wheel also.
It will drill pretty well, a good carbide bit might do the job but I've been afraid it would destroy it so I've used cheap bits. One bit, two holes then you throw away the bit. You can probably find the right sizes of masonary bits if you look enough, I didn't find them. Adhesive sticks fine on the inside of the hole, but make sure you get all the dust out first.
It is a tool killer, they will be dull in no time. I had some success with a farriers file (like a wide wood rasp) and a chunk of sandstone will get the job done eventually. Expect a dusty mess. I thought about rigging up a water drip and catch pan, but haven't tried it yet.
Lots of CA is a good idea, I don't think I used enough. After all that the pen I made crumbled around the nib after not much handling. I think that on the next one I make I'm going to segment in a small piece of wood on each end.