This quest will become available after clearing all bandit camps in the game. You have to go to the marked location and talk to Nil. He’ll ask you to meet up with him in the mesa (rock tower) south of Meridian. If you already visited the place and activated the campfire there, you can just simply fast-travel to that location.
Talk to Nil and being the thrill-seeking hunter he is, will challenge you to a duel, a real fight to the death. You have two options; accept the duel and kill him OR decline the duel. Nil is a good man and since he doesn’t drop anything valuable, killing him is just plain worthless. You can refer to the videos below to know what happens on either choices. I opted to decline the duel out of respect for him and I know that I’m more than capable of killing him quickly.
Should you decide to fight him, Nil has a lot of HP and resistance to damage but if you pummel him with blast ammo, the explosion will send him flying and knock him down for a few seconds, giving you more than enough time to land free shots at him. After depleting his HP, approach the man and talk to him for the last time. Quest complete.
Video Walkthrough