I don't know about making one from scratch in a machine shop, but I have toyed with the idea of making my own very simplistic single stage reg out of a manually controlled needle valve and an inhale counterlung bag. No moving parts at all.
The drawback is that you would have to manually adjust the flow to compensate for tank pressure, and more importantly, for depth. An overpressure relief on the inhale bag would take care the case where you have the valve too wide open. You would very readily notice the bag bottoming out if the valve is throttled back too much.
Buoyancy would slowly increase as the bag fills, have no change as you inhale, and then decrease as you exhale.
Does anybody know of a good 3000+psi needle valve good for flow control around 20 liters per minute?
Charlie