Not aware of any drain plugs on the side of the lower unit, do you have a picture?


That isn't used for anything. It's just a holdover from when it was an OMC Cobra drive, and the outdrive had the raw water pump in the drive.
Just an FYI for future reference, that is not your lower unit. That screw is in the pivot housing, the lower unit is the lower half of the outdrive which is bolted to the upper gear housing, and the complete drive is then bolted to the pivot housing.