Hi Penny, never grind stones while dry. The resulting dust can cause irreversible lung damage and harm the stone and your tool. It definitely looks like a nice agate but a dremel isn't the best tool for the job. You don't say where you're from, but many areas have gem and mineral clubs whose members gladly teach beginners proper lapidary techniques and they usually have all the proper tools to teach you with. If no clubs near you try to find a lapidary shop, most lapidaries, myself included love to teach others how to make cabochons on our machines. Dremels usually run at too high speeds for most lapidary work even in a water bath, and you will need diamond tips for you dremel or any other tool for agate, it is hard stuff. Folks do use corundum wheels and tools but diamond cuts faster and better, but still must be used in a water bath. Tile saws with diamond blades will work to cut your agate but a real stone saw with a vice to make perfect parallel cuts is much better. Google lapidary or gem and mineral clubs in your area and hopefully you can find one not too far away and get some hands on help.