The Skunk is a skunk that lives in the desert. He generates a stench that comes from his body which he can generate at any time.
Whereas all the other desert dwellers fear the skunk for his stench, Oscar is unbothered by the smell and frequently tries to befriend the skunk, much to the Skunk's annoyance. He frequently finds water or food but usually loses it in the end such as with water bottles breaking and then drying up on the sand or with the flies getting out of him and leaving. He seems to be unaffected by stench as shown when he is able to be smothered in the Skunks armpit and showing little to no reaction tot he smell. Oscar's goal changes from episode to episode, but the usual goal is to find food or water at all costs. Although Oscar typically doesn't like to clash with the other desert dwellers he has shown that if he wants something bad enough he will fight for it despite his small frame.
Though Oscar has a sense of smell and can be attracted to the smell of food, such as fried eggs, his sense of smell is clearly not offended by the skunk's stench. And though the skunk likes to terrorize other creatures with his stink, this fails on Oscar. Oscar in fact quite likes the skunk, and tries to make friends with him frequently. The feeling is not mutual and the skunk will frequently try to do anything to avoid the little lizard. (Although he once tolerated Oscar in exchange for a piece of watermelon.) This may be because Oscar himself doesn't smell that great however that's a subject for debate.