Cloud init FAIL: no local data found from DataSourceNoCloud

[Mang0Musztarda]

Hi,
I’m looking for help with cloud-init NoCloud on XCP-ng / Xen Orchestra using a custom Oracle Linux 9.6 template.

I installed Oracle Linux 9.6 as a VM, then prepared it for cloud-init and converted it into a template.
Installed packages:

dnf install -y cloud-init cloud-utils-growpart

Enabled services:

systemctl enable cloud-init
systemctl enable cloud-init-local
systemctl enable cloud-config
systemctl enable cloud-final

Cleanup before templating:

rm -f /etc/NetworkManager/system-connections/*
rm -f /etc/systemd/network/*.link
cloud-init clean --logs --machine-id --seed
rm -rf /var/lib/cloud/*
truncate -s 0 /etc/machine-id
rm -f /var/lib/dbus/machine-id

my /etc/cloud/cloud.cfg

# Cloud-init main configuration

users: []

disable_root: false
preserve_hostname: false

datasource_list: [ NoCloud ]
datasource:
  NoCloud:
    seedfrom: /dev/xvdb

cloud_init_modules:
  - migrator
  - seed_random
  - bootcmd
  - write-files
  - growpart
  - resizefs
  - set_hostname
  - update_hostname
  - update_etc_hosts
  - rsyslog
  - users-groups
  - ssh

cloud_config_modules:
  - mounts
  - locale
  - set-passwords
  - timezone
  - ntp
  - disable_ec2_metadata

cloud_final_modules:
  - scripts-per-once
  - scripts-per-boot
  - scripts-per-instance
  - scripts-user
  - final-message

system_info:
  distro: rhel
  default_user:
    name: root
  ssh_svcname: sshd

network:
  config: disabled

After creating a VM from this template and enabling Cloud Config Drive in Xen Orchestra, cloud-init does not detect NoCloud data.
From /var/log/cloud-init.log:

2025-12-31 14:59:08,377 - handlers.py[DEBUG]: finish: init-local/search-NoCloud: FAIL: no local data found from DataSourceNoCloud
2025-12-31 14:59:08,377 - log_util.py[WARNING]: Getting data from <class 'cloudinit.sources.DataSourceNoCloud.DataSourceNoCloud'> failed
2025-12-31 14:59:08,377 - log_util.py[DEBUG]: Getting data from <class 'cloudinit.sources.DataSourceNoCloud.DataSourceNoCloud'> failed
Traceback (most recent call last):
  File "/usr/lib/python3.9/site-packages/cloudinit/sources/__init__.py", line 1061, in find_source
    if s.update_metadata_if_supported(
  File "/usr/lib/python3.9/site-packages/cloudinit/sources/__init__.py", line 937, in update_metadata_if_supported
    result = self.get_data()
  File "/usr/lib/python3.9/site-packages/cloudinit/performance.py", line 103, in decorator
    return func(*args, **kwargs)
  File "/usr/lib/python3.9/site-packages/cloudinit/sources/__init__.py", line 493, in get_data
    return_value = self._check_and_get_data()
  File "/usr/lib/python3.9/site-packages/cloudinit/sources/__init__.py", line 424, in _check_and_get_data
    return self._get_data()
  File "/usr/lib/python3.9/site-packages/cloudinit/sources/DataSourceNoCloud.py", line 181, in _get_data
    if seedfrom.startswith(proto):
AttributeError: 'list' object has no attribute 'startswith'

XO creates XO CloudConfigDrive as /dev/xvdb, but cloud init can't read from it or can't event detect it

[Mang0Musztarda]

And my cloud config:

#cloud-config
hostname: {name}%

Network config:

network:
  version: 1
  config:
    - type: physical
      name: enX0
      subnets:
        - type: static
          address: 172.1.1.2
          netmask: 255.255.255.0
          gateway: 172.1.1.1