diff --git a/.gitignore b/.gitignore
index 485dee64b..d3417e6cc 100644
--- a/.gitignore
+++ b/.gitignore
@@ -1 +1,18 @@
 .idea
+
+# Test binary, build with `go test -c`
+*.test
+
+# Output of the go coverage tool, specifically when used with LiteIDE
+*.out
+
+### Terraform ###
+# Local .terraform directories
+**/.terraform/*
+
+# .tfstate files
+*.tfstate
+*.tfstate.*
+
+# Terraform plan file
+*.tfplan.*
diff --git a/Makefile b/Makefile
index c1796274f..6c8990dea 100644
--- a/Makefile
+++ b/Makefile
@@ -52,13 +52,19 @@ test: # Run unit test
 integration: deps-cgo ## Run integration test
 	go test -v sigs.k8s.io/cluster-api-provider-libvirt/test/integration
 
+.PHONY: e2e
+e2e: deps-cgo ## Run end-to-end test
+	hack/packet-provision.sh install
+	#TODO run tests
+	hack/packet-provision.sh destroy
+
 .PHONY: lint
 lint: ## Go lint your code
 	hack/go-lint.sh $(go list -f '{{ .ImportPath }}' ./...)
 
 .PHONY: fmt
 fmt: ## Go fmt your code
-	hack/verify-gofmt.sh
+	hack/go-fmt.sh
 
 .PHONY: vet
 vet: ## Apply go vet to all go files
diff --git a/hack/packet-provision.sh b/hack/packet-provision.sh
new file mode 100755
index 000000000..4bd04ca50
--- /dev/null
+++ b/hack/packet-provision.sh
@@ -0,0 +1,42 @@
+#!/usr/bin/env bash
+set +e
+
+# Your Packet user account
+if [ "$PACKET_AUTH_TOKEN" == "" ]; then
+    echo "You need to set PACKET_AUTH_TOKEN variable first."
+    echo "Make sure that your SSH key is also set in packet.net"
+    exit 1
+fi
+
+# Your Packet user account
+if [ "$TF_VAR_packet_project_id" == "" ]; then
+    echo "You need to set TF_VAR_packet_project_id variable first."
+    exit 1
+fi
+
+export TF_VAR_id=${ID:-$(uuidgen | cut -c1-8)}
+
+cd ./prebuild
+case ${1} in
+  "install")
+    ssh_path="$TF_VAR_ssh_key_path"
+    if [ "$TF_VAR_ssh_key_path" == "" ]; then
+        echo -e "\e[33mCreating temporary SSH file\e[0m"
+        ssh-keygen -t rsa -b 4096 -C "temporary packet.net key" -P "" -f "/tmp/packet_id_rsa" -q
+        ssh_path="/tmp/packet_id_rsa"
+    fi
+    terraform init -input=false
+    terraform plan -input=false -out=tfplan.out && terraform apply -input=false -auto-approve tfplan.out
+    echo -e "\e[32m"
+    echo -e "*** Your packet.net host is called ${TF_VAR_environment_id}"
+    echo -e "*** You can also access it via SSH with key located in ${ssh_path}"
+    echo -e "\e[0m"
+    ;;
+  "destroy")
+    terraform destroy -input=false -auto-approve
+    rm /tmp/packet_id_rsa* 2>/dev/null || :
+    ;;
+  *)
+    echo "Use '$0 install' or '$0 destroy'."
+    ;;
+esac
diff --git a/hack/prebuild/init.sh b/hack/prebuild/init.sh
new file mode 100755
index 000000000..85807f6c9
--- /dev/null
+++ b/hack/prebuild/init.sh
@@ -0,0 +1,24 @@
+#/bin/bash
+
+yum install -y -d1 libvirt libvirt-daemon-kvm
+usermod -aG libvirt root
+
+# Enable ssh+qemu access mode
+cat <<EOF > /etc/libvirt/libvirtd.conf
+unix_sock_group = "libvirt"
+unix_sock_rw_perms = "0770"
+EOF
+
+# Next lines are here if we would like to enable tcp+qemu conection mode
+#cat <<EOF > /etc/libvirt/libvirtd.conf
+#unix_sock_group = "libvirt"
+#unix_sock_rw_perms = "0770"
+#listen_tls = 0
+#listen_tcp = 1
+#auth_tcp="none"
+#tcp_port = "16509"
+#EOF
+#echo 'LIBVIRTD_ARGS="--listen"' >> /etc/sysconfig/libvirtd
+#iptables -I INPUT -p tcp --dport 16509 -j ACCEPT -m comment --comment "Allow insecure libvirt clients"
+
+systemctl start libvirtd
diff --git a/hack/prebuild/main.tf b/hack/prebuild/main.tf
new file mode 100644
index 000000000..6c8e589f9
--- /dev/null
+++ b/hack/prebuild/main.tf
@@ -0,0 +1,29 @@
+resource "packet_ssh_key" "key" {
+  name       = "unlikely_tf_ssh_key_name-${var.id}"
+  public_key = "${file("${var.ssh_key_path}")}"
+}
+
+resource "packet_device" "libvirt" {
+  hostname         = "libvirt-${var.id}"
+  plan             = "baremetal_0"
+  facility         = "ewr1"
+  operating_system = "centos_7"
+  billing_cycle    = "hourly"
+  project_id       = "${var.packet_project_id}"
+  user_data        = "#!/bin/bash\nsed -i 's/PasswordAuthentication.*$/PasswordAuthentication yes/g' /etc/ssh/sshd_config && systemctl restart sshd"
+  provisioner "remote-exec" {
+    script = "init.sh"
+    connection = {
+      type = "ssh"
+      user = "root"
+      password = "${self.root_password}"
+      agent = false
+    }
+  }
+  depends_on = ["packet_ssh_key.key"]
+}
+
+output "ip" {
+  value = "${packet_device.libvirt.access_public_ipv4}"
+}
+
diff --git a/hack/prebuild/variables.tf b/hack/prebuild/variables.tf
new file mode 100644
index 000000000..c56d21242
--- /dev/null
+++ b/hack/prebuild/variables.tf
@@ -0,0 +1,14 @@
+variable "ssh_key_path" {
+  type    = "string"
+  default = "/tmp/packet_id_rsa.pub"
+}
+
+variable "id" {
+  type    = "string"
+  default = "randomid"
+}
+
+variable "packet_project_id" {
+  type    = "string"
+  default = ""
+}