A greasy or sweaty person with low personal hygiene, a 'Slug' is also someone who is slow and sort of squelches around in their own sweat. Usually shouted at the someone with these characteristics.
Forget slug meaning a bullet. This makes more sense and you know it does.
(a fat sweaty spotty person squelches past)
Guy 1: Awww look at that, urrggh do they know what a shower is?
Guy 2: S...S...SSSLLUUGG!!
Guy 1: Bahahahahahahahhahaha what the hell, slug?
Guy 2: yes, oh yes...Slug
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