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Product Price: Get Latest PriceProduct Brochure A drag bit is a drill bit usually designed for use in soft formations such as sand, clay, or some soft rock. However, they will not work well in coarse gravel or hard rock formations. Uses include drilling water wells, mining, geothermal, environmental and exploration drilling.Step type bits are the most common type of drag bit used in the world today. They are primarily designed for soft tomedium formations.