diff --git a/srcpkgs/vmklive/files/dracut-module.sh b/srcpkgs/vmklive/files/dracut-module.sh
new file mode 100644
index 00000000000..34d51202338
--- /dev/null
+++ b/srcpkgs/vmklive/files/dracut-module.sh
@@ -0,0 +1,16 @@
+#!/bin/bash
+# -*- mode: shell-script; indent-tabs-mode: nil; sh-basic-offset: 4; -*-
+# ex: ts=8 sw=4 sts=4 et filetype=sh
+
+check() {
+    return 255
+}
+
+depends() {
+    echo dmsquash-live
+}
+
+install() {
+    inst chmod
+    inst_hook pre-pivot 01 "$moddir/vmklive-adduser.sh"
+}
diff --git a/srcpkgs/vmklive/files/dracut-vmklive-adduser.sh b/srcpkgs/vmklive/files/dracut-vmklive-adduser.sh
new file mode 100644
index 00000000000..03277af5872
--- /dev/null
+++ b/srcpkgs/vmklive/files/dracut-vmklive-adduser.sh
@@ -0,0 +1,50 @@
+#!/bin/sh
+# -*- mode: shell-script; indent-tabs-mode: nil; sh-basic-offset: 4; -*-
+# ex: ts=8 sw=4 sts=4 et filetype=sh
+
+USERNAME=$(getarg live.user)
+[ -z "$USERNAME" ] && USERNAME=anon
+
+# Create /etc/default/live.conf to store USER.
+echo "USERNAME=$USERNAME" >> ${NEWROOT}/etc/default/live.conf
+chmod 644 ${NEWROOT}/etc/default/live.conf
+
+# Create new user and remove password. We'll use autologin by default.
+chroot ${NEWROOT} useradd -c $USERNAME -m $USERNAME -G audio,video,wheel -s /bin/bash
+chroot ${NEWROOT} passwd -d $USERNAME 2>&1 >/dev/null
+
+# Enable sudo permission by default.
+if [ -f ${NEWROOT}/etc/sudoers ]; then
+	echo "${USERNAME}  ALL=(ALL) NOPASSWD: ALL" >> ${NEWROOT}/etc/sudoers
+fi
+
+# Enable autologin for getty(1).
+if [ -f ${NEWROOT}/lib/systemd/system/getty@.service ]; then
+        rm -f "${NEWROOT}/etc/systemd/system/getty.target.wants/getty@tty1.service"
+	sed -e "s|/sbin/agetty|/sbin/live-getty|g" \
+                "${NEWROOT}/lib/systemd/system/getty@.service" > \
+                "${NEWROOT}/etc/systemd/system/getty.target.wants/getty@tty1.service"
+fi
+
+# Create /sbin/live-getty.
+cat > ${NEWROOT}/sbin/live-getty <<_EOF
+#!/bin/sh
+
+if [ -x /sbin/agetty ]; then
+	_getty=/sbin/agetty
+elif [ -x /sbin/getty ]; then
+	_getty=/sbin/getty
+fi
+
+exec \${_getty} -n -l /sbin/live-autologin \$*
+_EOF
+chmod 755 ${NEWROOT}/sbin/live-getty
+
+# Create /sbin/live-autologin.
+cat > ${NEWROOT}/sbin/live-autologin <<_EOF
+#!/bin/sh
+
+. /etc/default/live.conf
+exec /bin/login -f \$USERNAME
+_EOF
+chmod 755 ${NEWROOT}/sbin/live-autologin
diff --git a/srcpkgs/vmklive/files/mklive.sh.in b/srcpkgs/vmklive/files/mklive.sh.in
old mode 100755
new mode 100644
index 7038d8b5072..fbbd4fe5c31
--- a/srcpkgs/vmklive/files/mklive.sh.in
+++ b/srcpkgs/vmklive/files/mklive.sh.in
@@ -53,7 +53,7 @@ write_etc_motd()
 {
 	cat >> "$ROOTFS/etc/motd" <<_EOF
 ###############################################################################
-  Autogenerated by vmklive @@MKLIVE_VERSION@@.
+  Autogenerated by vmklive @@MKLIVE_VERSION@@
 -------------------------------------------------------------------------------
 
 Welcome to the Void Linux Live system, you have been autologged in.
@@ -112,18 +112,12 @@ MENU COLOR sel          * #ffffffff #FF5255FF *
 
 LABEL linux
 MENU LABEL Boot Void GNU/Linux ${kver} ($(uname -m))
-KERNEL /casper/vmlinuz
-INITRD /casper/initrd.lz
-APPEND boot=casper keymap=${KEYMAP:-us} locale=${LOCALE:-en_US.UTF-8} ro
-
-LABEL linuxtoram
-MENU LABEL Boot Void GNU/Linux ${kver} (RAM) ($(uname -m))
-KERNEL /casper/vmlinuz
-INITRD /casper/initrd.lz
-APPEND boot=casper toram keymap=${KEYMAP:-us} locale=${LOCALE:-en_US.UTF-8} ro
-
+KERNEL vmlinuz
+APPEND initrd=initrd.lz root=live:CDLABEL=VoidLinux-live-$(uname -m)-${kver} \
+ rootfstype=auto ro liveimg rd.luks=0 rd.md=0 rd.dm=0 \
+ vconsole.keymap=${KEYMAP} vconsole.unicode=1 locale.LANG=${LOCALE}
 LABEL c
-MENU LABEL Boot first HD found by the BIOS
+MENU LABEL Boot first HD found by BIOS
 LOCALBOOT 0x80
 _EOF
 }
@@ -145,7 +139,7 @@ SPLASH_IMAGE=/usr/share/void-artwork/splash.png
 KEYMAP=us
 
 # Default locale to use.
-LOCALE=en_US.UTF-8
+LOCALE=en_US
 
 # Path to XBPS utilities.
 #XBPS_BIN_CMD=xbps-bin
@@ -162,11 +156,12 @@ _EOF
 usage()
 {
 	cat <<_EOF
-Usage: $(basename $0) [options] <kernel-version>
+Usage: $(basename $0) [options]
 
 Options:
  -C file		Path to configuration file (defaults to ~/.mklive.conf)
  -c (gzip|bzip2|xz) 	Compression type for the squashfs/initramfs image.
+ -k version		Kernel version to use.
  -o outfile		Output file name for the ISO image.
  -r rootdir		Rootfs directory.
  -s splash		Splash image file for isolinux.
@@ -178,10 +173,11 @@ _EOF
 #
 # main()
 #
-while getopts "C:c:o:r:s:v:" opt; do
+while getopts "C:c:k:o:r:s:v:" opt; do
 	case $opt in
 	C) CONFIG_FILE="$OPTARG";;
 	c) COMPRESSTYPE="$OPTARG";;
+	k) KERNELVERSION="$OPTARG";;
 	o) OUTPUT_FILE="$OPTARG";;
 	r) ROOTDIR="$OPTARG";;
 	s) SPLASH_IMAGE="$OPTARG";;
@@ -190,18 +186,8 @@ while getopts "C:c:o:r:s:v:" opt; do
 done
 shift $(($OPTIND - 1))
 
-KERNELVERSION="$1"
 if [ -z "$KERNELVERSION" ]; then
-	usage
-fi
-
-# Check that specific kernel version contains the unionfs module.
-if [ ! -r "/boot/config-${KERNELVERSION}" ]; then
-	echo "Missing /boot/config-${KERNELVERSION} file, exiting..."
-	exit 1
-elif ! grep -Eq "^CONFIG_UNION_FS=(y|m)$" /boot/config-${KERNELVERSION}; then
-	echo "kernel ${KERNELVERSION} does not contain unionfs support, exiting..."
-	exit 1
+	KERNELVERSION="$(uname -r)"
 fi
 
 # Set defaults
@@ -214,7 +200,7 @@ fi
 LOGFILE="$(mktemp -t vmklive-XXXXXXXXXX.log)"
 
 if [ -z "$ISO_VOLUME" ]; then
-	ISO_VOLUME="Void Linux Live $(uname -m) ${KERNELVERSION}"
+	ISO_VOLUME="VoidLinux-live-$(uname -m)-${KERNELVERSION}"
 fi
 if [ -z "$SYSLINUX_DATADIR" ]; then
 	SYSLINUX_DATADIR=/usr/share/syslinux
@@ -250,7 +236,7 @@ else
 fi
 BUILDDIR=$(mktemp --tmpdir=$HOME -d) || exit 1
 BUILDDIR=$(readlink -f $BUILDDIR)
-ROOTFS="$BUILDDIR/casper/rootfs"
+ROOTFS="$BUILDDIR/rootfs"
 ISOLINUX_DIR="$BUILDDIR/isolinux"
 ISOLINUX_CFG="$ISOLINUX_DIR/isolinux.cfg"
 
@@ -279,6 +265,7 @@ fi
 #
 mount_pseudofs
 mkdir -p "$ROOTFS/tmp"
+mkdir -p "$ISOLINUX_DIR"
 
 XBPS_ARGS="-r $ROOTFS -y"
 if [ -n "$REPOSITORY_CACHE" ]; then
@@ -326,33 +313,20 @@ write_etc_motd
 # Create the initramfs with XZ compression.
 #
 info_msg "[3/9] Creating initramfs image ($COMPRESSTYPE)..."
-mkinitramfs -c ${COMPRESSTYPE} \
-	-o "$BUILDDIR/casper/initrd.lz" ${KERNELVERSION} \
-	2>/dev/null || error_out
-mkdir -p "$ROOTFS"/cow
+dracut --add "dmsquash-live vmklive" --${COMPRESSTYPE} \
+	"${ISOLINUX_DIR}/initrd.lz" ${KERNELVERSION} 2>/dev/null || error_out
 
 #
 # Copy the linux image to the target directory.
 #
 info_msg "[4/9] Copying kernel image/modules..."
-cp -f /boot/vmlinuz-${KERNELVERSION} "$BUILDDIR/casper/vmlinuz" || error_out $?
+cp -f /boot/vmlinuz-${KERNELVERSION} "${ISOLINUX_DIR}/vmlinuz" || error_out $?
 mkdir -p "$ROOTFS/lib/modules"
 cp -a /lib/modules/${KERNELVERSION} "$ROOTFS/lib/modules" || error_out $?
 
-# XXX: install lsblk and blkid from util-linux.
-install -Dm755 /usr/bin/lsblk "$ROOTFS/usr/bin/lsblk" || error_out $?
-install -Dm755 /usr/sbin/blkid "$ROOTFS/sbin/blkid" || error_out $?
-
-#
-# Copy required xbps-casper files for autologin.
-#
-install -Dm644 /etc/casper.conf "$ROOTFS/etc/casper.conf" || error_out $?
-install -Dm755 /sbin/casper-getty "$ROOTFS/sbin/casper-getty" || error_out $?
-install -Dm755 /sbin/casper-login "$ROOTFS/sbin/casper-login" || error_out $?
-
 # Generate a sane xbps.conf for the rootfs.
 rm -f $ROOTFS/etc/xbps/xbps.conf
-echo "# xbps.conf generated by vmklive-@@MKLIVE_VERSION@@" \
+echo "# xbps.conf generated by vmklive-0.8.5" \
 	> $ROOTFS/etc/xbps/xbps.conf
 echo "TransactionFrequencyFlush = 0" \
 	>> $ROOTFS/etc/xbps/xbps.conf
@@ -412,16 +386,10 @@ done
 #
 umount_pseudofs
 
-# Save a few MBs from /usr/share.
-for d in info man examples doc; do
-	[ -d "$ROOTFS/usr/share/${d}" ] && rm -rf "$ROOTFS/usr/share/${d}"
-done
-
 #
 # Copy required isolinux files in the target rootfs.
 #
 info_msg "[5/9] Copying isolinux files..."
-mkdir -p "$ISOLINUX_DIR"
 cp -f $SYSLINUX_DATADIR/isolinux.bin "$ISOLINUX_DIR"
 cp -f $SYSLINUX_DATADIR/vesamenu.c32 "$ISOLINUX_DIR"
 write_default_isolinux_conf ${KERNELVERSION}
@@ -433,17 +401,25 @@ fi
 # Prepare the squashed rootfs image.
 #
 info_msg "[6/9] Creating squashfs image ($COMPRESSTYPE) from rootfs..."
-mksquashfs "$ROOTFS" "$BUILDDIR/casper/filesystem.squashfs" \
-	-root-becomes / -comp ${COMPRESSTYPE} \
-	2>&1 | cat >> $LOGFILE || error_out
-chmod 444 "$BUILDDIR/casper/filesystem.squashfs" || error_out $?
+# Find out required size for the rootfs and create an ext3fs image off it.
+ROOTFS_SIZE=$(du -sk "$ROOTFS"|awk '{print $1}')
+mkdir -p "$BUILDDIR/tmp/LiveOS"
+dd if=/dev/zero of="$BUILDDIR/tmp/LiveOS/ext3fs.img" \
+	bs="$((${ROOTFS_SIZE}+($ROOTFS_SIZE/6)))K" count=1 2>&1 | cat >>$LOGFILE || error_out $?
+mkdir -p "$BUILDDIR/tmp-rootfs"
+mkfs.ext3 -F -m1 "$BUILDDIR/tmp/LiveOS/ext3fs.img" 2>&1 | cat >>$LOGFILE || error_out $?
+mount -o loop "$BUILDDIR/tmp/LiveOS/ext3fs.img" "$BUILDDIR/tmp-rootfs" || error_out $?
+cd $BUILDDIR
+cp -a rootfs/* tmp-rootfs/
+umount -f "$BUILDDIR/tmp-rootfs"
+mkdir -p "$BUILDDIR/LiveOS"
 
-if [ -n "$ROOTDIR" ]; then
-	umount_pseudofs yes
-else
-	info_msg "[7/9] Removing rootfs directory..."
-	rm -rf "$ROOTFS" || error_out $?
-fi
+mksquashfs "$BUILDDIR/tmp" "$BUILDDIR/LiveOS/squashfs.img" \
+	-comp ${COMPRESSTYPE} 2>&1 | cat >> $LOGFILE || error_out
+chmod 444 "$BUILDDIR/LiveOS/squashfs.img" || error_out $?
+
+info_msg "[7/9] Removing rootfs directory..."
+rm -rf "$ROOTFS" "$BUILDDIR/tmp-rootfs" "$BUILDDIR/tmp" || error_out $?
 
 #
 # Prepare the ISO image.
diff --git a/srcpkgs/vmklive/template b/srcpkgs/vmklive/template
index a6d1063395f..f30b819e275 100644
--- a/srcpkgs/vmklive/template
+++ b/srcpkgs/vmklive/template
@@ -1,19 +1,17 @@
 # Template file for 'vmklive'
 pkgname=vmklive
-version=0.8.5
-fulldepends="initramfs-tools xbps-casper>=0.25.1.236 cdrtools squashfs-tools syslinux"
-short_desc="Void GNU/Linux live image maker"
+version=0.9.0
+replaces="xbps-mklive>=0 vanilla-mklive>=0"
+noextract=yes
+noarch=yes
+fulldepends="dracut>=018_2 cdrtools squashfs-tools syslinux"
+short_desc="Void Linux live image maker"
 maintainer="Juan RP <xtraeme@gmail.com>"
 license="Public domain"
 homepage="http://code.google.com/p/xbps"
 long_desc="
- $pkgname is a simple shell script to build a bootable live image,
- with xbps binary packages."
-
-replaces="xbps-mklive>=0 vanilla-mklive>=0"
-noextract=yes
-noarch=yes
-
+ $pkgname is a simple shell script to build a bootable live image
+ for void linux."
 
 do_build() {
 	sed "s|@@MKLIVE_VERSION@@|${version}|g" \
@@ -22,4 +20,9 @@ do_build() {
 
 do_install() {
 	vinstall ${pkgname}.sh 755 usr/sbin vmklive
+	# Install dracut module.
+	vinstall ${FILESDIR}/dracut-module.sh 755 \
+		usr/lib/dracut/modules.d/01vmklive module-setup.sh
+	vinstall ${FILESDIR}/dracut-vmklive-adduser.sh 755 \
+		usr/lib/dracut/modules.d/01vmklive vmklive-adduser.sh
 }