On a 66, in order to pull the ignition switch lock, you place your key in the switch, then a paper clip in the hole next to it and turn the cylinder and the lock pull out, same to repalce it. I'm not sure if any damage occured drilling out the cylinder, but if not you install in the same manner.
As far as any damage due to it being in neutral, should not prevent the car from starting.
1966 Impala SS
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