It's an actual well drill. It uses a hollow drill stem (type of pipe) and the water or drilling slurry is pumped down it, washing the material up and out of the hole. Once the hole is drilled down to the water, the drill stem and drill bit is removed, you slip the well pipe down the hole, hook up the well pump and off you go.
IIRC, I paid around $600-$700 for it, and the bill of sale including shipping was slightly over $3,000. If you call them they will send you a DVD for free on how it works. I've heard of guys buying one to drill a well on their place, then renting it out and recouping their costs.
