Well if you get a pony get one that bucks you will be half there.
Depending on the size of the project, can you get someone to make a new bar for a chain mortiser? Or is one inch too tight for the chain? Can you use rectangular pegs so the mortiser works? I've seen 7/8" mortice bits but I have no experience with them. The bit was 4-5" long can it be welded so it can be extended into the piece?