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I haven't personally done it but a good air compressor and an air powered die grinder would do the job. I don't think a normal Dremel would work too well, although I used to work at a place that had a professional type dremel with a fles shaft and it would work awesome.
P.S. Got to http://www.standardabrasives.com. They have a great how to manual on porting heads plus you can buy head porting kits from them with the right equipment.
I bought an industrial grade electric hand grinder from Sears for my garage work. I've used air powered and electric for years, the electric grinder is perfect for 99% of any car type work you'll do and you don't have to deal with a compressor.
Thanks, I was looking at some of the electric grinders. The standard dremel tool is too
weak (1/5 hp) I saw the heavy duty one but I thought it was a little under powered too.