The wireless channel-based Secret Key Generation (SKG) algorithms aim at securing the wireless link against unauthorized eavesdropping by exploiting the channel’s randomness for generating matching secret keys at the legitimate nodes for message encryption/decryption. To counter differences in hardware and noise conditions at the legitimate nodes, which can lead to key mismatch, the SKG algorithms typically include the intermediate steps of sampling, quantization, information reconciliation, and privacy amplification. These steps collectively aim to improve the performance trade-offs between Key Generation Rate (KGR), Key Agreement Probability (KAP), and Secret Key Randomness (SKR) properties. This paper derives a closed-form expression for the Average Contiguous Duration (ACD) of Generalized Gamma (GG) fading wireless channels. The ACD is a recently introduced novel quantifier for characterizing the second-order statistics of fading channels, which includes Average Fade Duration (AFD) as its special case. The proposed GG fading ACD expression is shown to include, as its special cases, the ACD for commonly observed fading distributions such as Gamma, Nakagami- $m$ , and Rayleigh. By exploiting the derived GG ACD expression, a multi-level quantization scheme for SKG is proposed that determines suitable quantization intervals for identical likelihood of an equal number of consecutive channel samples falling in each quantization interval. A comprehensive comparative analysis of the proposed ACD-based quantization for SKG is conducted in relation to conventional Uniform Quantization (UQ) and Cumulative Distribution Function (CDF)-based Non-Uniform Quantization (NUQ) schemes. The presented numerical results confirm the superior performance trade-off between KGR and KAP offered by the proposed ACD-based quantization in relation to that offered by UQ and CDF-based NUQ.