diff --git a/.github/workflows/build-and-s3-upload.yml b/.github/workflows/build-and-s3-upload.yml
index f47cd0e..95281a4 100644
--- a/.github/workflows/build-and-s3-upload.yml
+++ b/.github/workflows/build-and-s3-upload.yml
@@ -24,7 +24,7 @@ jobs:
       - name: Install build dependencies
         run: |
           sudo apt-get update -q
-          sudo apt-get install -y podman podman-compose bmap-tools pigz
+          sudo apt-get install -y podman podman-compose bmap-tools pigz qemu-utils
 
       - name: Make image generator executable
         run: chmod +x .release/generate_images.sh
diff --git a/.github/workflows/ci-build13.yml b/.github/workflows/ci-build13.yml
index 6e72031..938b961 100644
--- a/.github/workflows/ci-build13.yml
+++ b/.github/workflows/ci-build13.yml
@@ -27,7 +27,7 @@ jobs:
       - name: Install build dependencies
         run: |
           sudo apt-get update -q
-          sudo apt-get install -y podman podman-compose bmap-tools pigz
+          sudo apt-get install -y podman podman-compose bmap-tools pigz qemu-utils
 
       - name: Make ci_build.sh executable (if needed)
         run: chmod +x .release/generate_images.sh
@@ -37,6 +37,22 @@ jobs:
           .release/generate_images.sh --tag ci
         shell: bash
 
+      - name: Upload hypervisor image artifact
+        uses: actions/upload-artifact@v7
+        with:
+          name: hypervisor-image
+          path: release-files/*virtual-cluster*.qcow2
+          if-no-files-found: error
+          retention-days: 1
+
+      - name: Upload VM image artifact
+        uses: actions/upload-artifact@v7
+        with:
+          name: vm-image
+          path: release-files/*guest*.qcow2
+          if-no-files-found: error
+          retention-days: 1
+
       - name: Collect FAI logs on failure
         if: failure()
         run: |
@@ -45,7 +61,7 @@ jobs:
 
       - name: Upload FAI logs
         if: failure()
-        uses: actions/upload-artifact@v4
+        uses: actions/upload-artifact@v6
         with:
           name: fai-logs-${{ github.run_id }}
           path: fai-logs.tar.gz
@@ -53,3 +69,11 @@ jobs:
 
       - name: Check exit code
         run: echo "Script exited successfully!"
+  test-virtual-cluster:
+    needs: CI-build
+    uses: paullgk/virtual-cluster/.github/workflows/debian-setup.yml@main
+    with:
+      hypervisor_image_url: /tmp/images/hypervisor.qcow2
+      hypervisor_image_filename: seapath-ci-generic-virtual-cluster.rootfs.raw.qcow2
+      vm_image_url: /tmp/images/vm.qcow2
+      vm_image_filename: seapath-ci-guest.qcow2
diff --git a/.release/generate_images.sh b/.release/generate_images.sh
index becec12..aea377b 100755
--- a/.release/generate_images.sh
+++ b/.release/generate_images.sh
@@ -84,27 +84,34 @@ QCOW="seapath-${VERSION}-guest.qcow2"
 STANDALONE="seapath-${VERSION}-generic-standalone.rootfs"
 CLUSTER="seapath-${VERSION}-generic-cluster.rootfs"
 OBSERVER="seapath-${VERSION}-generic-observer.rootfs"
+VIRTUAL_HYPERVISOR="seapath-${VERSION}-generic-virtual-cluster.rootfs"
 
 build_role() {
     local role="$1"
     local base="$2"
     shift 2
     ./generate_seapath_image.sh "$role" "$@"
-    mv -f seapath.raw.gz   "${base}.raw.gz"
-    mv -f seapath.raw.bmap "${base}.raw.bmap"
+
+    if [ "$role" == "virtual-hypervisor" ]; then
+        mv -f seapath.raw.qcow2   "${base}.raw.qcow2"
+    else
+        mv -f seapath.raw.gz   "${base}.raw.gz"
+        mv -f seapath.raw.bmap "${base}.raw.bmap"
+    fi
 }
 
 mkdir -p release-files/
 
-./build_iso.sh
-mv -f seapath.iso   release-files/"$ISO"
+# ./build_iso.sh
+# mv -f seapath.iso   release-files/"$ISO"
 
 ./build_qcow2.sh
 mv -f seapath-vm.qcow2  release-files/"$QCOW"
 
-build_role standalone  release-files/"$STANDALONE" -c
-build_role cluster     release-files/"$CLUSTER"    -c --ceph-disk
-build_role observer    release-files/"$OBSERVER"   -c
+# build_role standalone  release-files/"$STANDALONE" -c
+# build_role cluster     release-files/"$CLUSTER"    -c --ceph-disk
+# build_role observer    release-files/"$OBSERVER"   -c
+build_role virtual-hypervisor    release-files/"$VIRTUAL_HYPERVISOR"   -c --ceph-disk
 
 if $PUBLISH; then
     gh release upload "$TAG" \
@@ -116,5 +123,6 @@ if $PUBLISH; then
         release-files/"${CLUSTER}.raw.bmap" \
         release-files/"${OBSERVER}.raw.gz" \
         release-files/"${OBSERVER}.raw.bmap" \
+        release-files/"$VIRTUAL_HYPERVISOR" \
         --clobber
 fi
diff --git a/generate_seapath_image.sh b/generate_seapath_image.sh
index 86b347d..67ebdf1 100755
--- a/generate_seapath_image.sh
+++ b/generate_seapath_image.sh
@@ -19,6 +19,7 @@ print_usage() {
     echo "  standalone             Generate a standalone hypervisor image"
     echo "  cluster                Generate a hypervisor image for cluster deployment"
     echo "  observer               Generate a cluster observer node image"
+    echo "  virtual-hypervisor     Generate a qcow2 virtual hypervisor image "
     echo ""
     echo "Options:"
     echo "  -h, --help             Display this help message"
@@ -141,10 +142,10 @@ while true; do
             fi
             ;;
         --ceph-disk)
-            if [ "$ROLE" == "cluster" ]; then
+            if [ "$ROLE" == "cluster" ] || [ "$ROLE" == "virtual-hypervisor" ]; then
                 CEPH_DISK=true
             else
-                echo "Warning: --ceph-disk option is only applicable for 'cluster' role. Ignoring." >&2
+                echo "Warning: --ceph-disk option is only applicable for 'cluster' and 'virtual-hypervisor' roles. Ignoring." >&2
             fi
             shift
             ;;
@@ -174,17 +175,17 @@ while true; do
     esac
 done
 
-if [[ "$ROLE" != "standalone" && "$ROLE" != "cluster" && "$ROLE" != "observer" ]]; then
+if [[ "$ROLE" != "standalone" && "$ROLE" != "cluster" && "$ROLE" != "observer" && "$ROLE" != "virtual-hypervisor" ]]; then
     echo "Error: Invalid role specified: $ROLE" >&2
     exit 1
 fi
 
 IFS=','
 CLASSES=(FAIBASE DEBIAN GRUB_EFI SEAPATH_COMMON)
-if [ "$ROLE" == "standalone" ] || [ "$ROLE" == "cluster" ]; then
+if [ "$ROLE" == "standalone" ] || [ "$ROLE" == "cluster" ] || [ "$ROLE" == "virtual-hypervisor" ]; then
     CLASSES+=("SEAPATH_HOST")
 fi
-if [ "$ROLE" == "cluster" ] || [ "$ROLE" == "observer" ]; then
+if [ "$ROLE" == "cluster" ] || [ "$ROLE" == "observer" ] || [ "$ROLE" == "virtual-hypervisor" ]; then
     CLASSES+=("SEAPATH_CLUSTER")
 fi
 if [ "$COCKPIT" = true ]; then
@@ -323,16 +324,24 @@ sudo chown -R "$(id -u):$(id -g)" "$output_dir/"*
 # Clean the build directory
 sudo rm -rf "$ext_dir"
 
-if command -v bmaptool >/dev/null ; then
+if [ "$ROLE" == "virtual-hypervisor" ]; then
+    qemu-img convert \
+    -f raw -O qcow2 \
+    -S 4k \
+    -o preallocation=off,lazy_refcounts=on,compat=1.1 \
+    "$output_dir/${OUTPUT}" "$output_dir/${OUTPUT}.qcow2"
 
-    bmaptool create -o "$output_dir/${OUTPUT}.bmap" "$output_dir/${OUTPUT}"
+else
+    if command -v bmaptool >/dev/null ; then
+
+        bmaptool create -o "$output_dir/${OUTPUT}.bmap" "$output_dir/${OUTPUT}"
 
-    if command -v pigz >/dev/null ; then
-        pigz "$output_dir/${OUTPUT}"
-    else
-        gzip "$output_dir/${OUTPUT}"
+        if command -v pigz >/dev/null ; then
+            pigz "$output_dir/${OUTPUT}"
+        else
+            gzip "$output_dir/${OUTPUT}"
+        fi
+        generate_seapath_metadata
     fi
-    generate_seapath_metadata
 fi
-
 echo "SEAPATH image generation completed."