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This is caused by tightening the chuck using the drills power, if you clamp the bit in a vice and using a pair of multi grips on the chuck in an anti clockwise direction gently bounce the grips and after a few tries it will undo, don't use too much pressure or try to unwind it in one move or myou will damage the chuck sleeve
If it's a twist bit try putting a vice-grip pliers on the end and turn it so the fluting pushes the bit out. If it won't move or if it's a spade bit you'll have to split the wood around the bit. You may or may not be able to do this with the offending part of the stump in the ground. Using a wedge, drive it into the stump near but not next to the bit so you don't damage the bit. Don't drive the wedge flush into the stump or you may get the bit out and then have the wedge stuck. Worst case, carefully use a chainsaw to cut out the stump so you can split the wood around the bit.
There are a couple of ways to try to free the bit from the drill chuck. But slow and steady is the key, don't hit anything too hard, so as to not damage the chuck in the process, nor break off the bit in the chuck.
You'll need to put the bit into a bench vise and reverse the drill slowly and carefully. Make sure the bit is tightly secured in the vise and that the drill won't spin your hand around and slam it into the bench when you pull the trigger.
As a last resort, you can try tapping the bit sideways, to get it loose. With chuck opened up all the way possible, gently tap the bit sideways. This should also free the bit, but be very careful not to snap the bit off in the chuck, or you'll have a worse situation trying to get a broken bit out of the chuck.
If none of these work, you can attempt to secure the stuck bit in the bench vise and try to tap the drill chuck using a hammer and a flat brass bar resting against the drill chuck, so you don't damage the chuck. Just tap the brass bar to drive the chuck free of the stuck bit. You have to watch the bit in the vise to make certain it's not slipping and that the chuck is getting free.
Drillbits "burn" what you are drilling when there is too much friction. That is caused by a variety of things...including...lack of lubrication for metal work...and usually a dull drill bit in wood.
If you see no smoke comming from the point of impact...it might be your drill motor..check it out when you are using it...it could be dirty and need a good cleaning...or it could be burning out from excessive or improper usage.