This link [1] was extremely helpful in figuring our how to setup a ready to boot image, but I noticed a few issues. First, on Precise I didn't have the cloud-localds tool, and second there wasn't a very simple way to import the image into libvirt.
The cloud-localds problem was solved easily by branching the latest copy and using it locally. Virt-install can be easily used to create a domain based on the image.
Below is a snippet to be run after using Scott's original script:
# install cloud image sudo virt-install --connect qemu:///system \ --ram 1024 -n ubuntu --os-type=linux --os-variant=ubuntuprecise \ --disk path=./disk.img,device=disk,bus=virtio,format=qcow2 \ --disk path=./my-seed.img,bus=virtio,format=raw \ --vcpus=1 --vnc --noautoconsole --import