You can't use any continues throughout your playthrough, otherwise he will not appear. Alternatively, you'll be able to fight him if you KO a NEST boss without getting KO'd yourself. How to fight: To fight Rugal, you must defeat any of the NESTS bosses using an SDM, a MAX SDM, or a MAX 2.
This SNK boss is purposely overpowered, with deadly moves such as his infamous Genocide Cutter. Omega Rugal Bio: The final boss in KoF 94, 95, 98, and 2002.