@wilsonqanda Make sure to turn off "Network" in boot order. You might also want to increase the VM's root disk size when creating it.
Here's a full cloud config that I used (except the ssh keys):
#cloud-config
hostname: {name}
ssh_authorized_keys:
- ssh-rsa ...
disable_root: false
apt:
sources:
xen-guest-agent:
filename: xen-guest-agent.list
source: deb [trusted=yes] https://gitlab.com/api/v4/projects/xen-project%252Fxen-guest-agent/packages/generic/deb-amd64/ release/
append: false
packages:
- xen-guest-agent
