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[[File:skullkeyentrance.jpg|thumb|right|Skull Cavern Entrance]]
[[File:shaft.jpg|thumb|right|A shaft for faster descending]]
The '''Skull Cavern''' is located in the northwest area of [[the Desert]]. It is initially locked and requires the [[Skull Key]] to gain access. After entering the Cavern for the first time, a letter is received on the following day, from [[Mr. Qi]]. The letter begins the quest [[Quests#Qi's Challenge|Qi's Challenge]], which is completed by reaching floor 25 in the Skull Cavern. Completing the quest awards {{price|10000}} (Delivered by mail the following day). If the player reaches level 25 of the Skull Cavern during the first visit, the quest will automatically be fulfilled the next day.
There is no limit to the number of floors, or levels, in the Skull Cavern (at least until the integer limit of 2147483647 is reached). Similar to [[the Mines]], the player advances through floors in the Skull Cavern by finding a ladder on each floor, either by mining rocks or defeating enemies. The player can sometimes find a shaft, or hole, which makes it possible to skip 3-15 floors. Jumping down the shaft causes [[health]] damage equal to 3x the number of levels skipped (although jumping down a shaft will never reduce health to less than 1). Unlike the Mines, there is no elevator to save progress, but on every floor there is a ladder at the starting point where you can leave the Skull Cavern. Each visit must start again from the first floor. If [[The Player|the player]] runs out of health or passes out while exploring Skull Cavern, they will wake up sometime later on the same day, in [[Harvey's Clinic]]. A fee of {{price|1000}} will be deducted for emergency surgery. Some items may also be lost.
Every ten floors the chance to find [[Iridium Ore]] increases significantly. The monsters in the Cavern also have a chance to drop ore and [[Iridium Bar]]s. It can be a good idea to bring the [[Lava Katana]] or [[Galaxy Sword]], as enemies are particularly strong. High [[Luck]] increases the frequency of ore veins and the appearance of ladders/holes. Since the frequency of [[Iridium Ore]] increases for every 10 floors descended into the Cavern, rapid descent is often more efficient for acquiring ore than thorough exploration. With a full inventory of stone, it's possible to craft [[staircase]]s to descend to floor 300+.
Below is a collapsable table of all possible treasures that can be randomly found inside Treasure Chests in the Skull Cavern.
{{Stub|section=true|Needs updated for 1.4}}
{|class="wikitable sortable mw-collapsible mw-collapsed"
|-
==History==
{{History|1.3|Added Carbon Ghost, Iridium Bat, Iridium Crab, treasure rooms, and encounter with Mr. Qi. Removed exploit that allowed the player to avoid bomb damage by consuming food after placing a bomb.}}
{{History|1.4|Added Pepper Rex. All players entering a chute in [[Multiplayer]] now descend to the same level. Qi's challenge can now be completed during the first visit to the Skull Cavern.}}
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