Just my opinions, and assuming we're only talking about 1" rings:
> Your alignment bars should be made from 1" bar (or tube, if the OD is accurate). Don't worry about making points - you'll get a better result by just accurately facing the ends square. Just as easy (or easier) to see vertical or horizontal offset but they'll also show you if there's any angular misalignment. I made my alignment bars pointed on one end and faced square on the other. I never use the pointed ends.
> For lapping, wet/dry sandpaper is both quicker and cleaner than grinding paste. Grinding paste also tends to imbed in the softer of the two metals in contact while abrading the harder one (which is of course how lapping works), and the scope ring is often softer than your lapping bar. BUT - you don't want to wrap paper around a 1" lapping bar. If you measure the thickness of a bit of P400 or P600 wet and dry you'll find it's just about perfectly 0.2mm. So use restickable spray adhesive to stick the paper to a metric 25.0mm bar instead. 25.0+0.2+0.2=25.4mm=1".
> Having a lapping bar drilled out to show alignment sounds good, but that's a long, small hole to have drilled with enough accuracy to be useful. When I want to check alignment of the rings with the bore I just use the scope. Centre the scope adjustments and mount it with one ring only - it's easy to see where that ring is pointing relative to the bore. Your square-end alignment bars will then tell you where the second ring is pointing relative to the first ring.
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