I am so glad I called back. I didn't know that the skull was the key, and was intending to pop back once I'd acquired a couple of more levels in Pick Locks from the thieves guild.
And yeah, I had a real fun fight with it, wasting quite a few potions. That I've been through, only Josephine's worse, though I lost my old game just after getting to the Wastelands, so not sure what you meet up with there