diff --git a/srcpkgs/xbps-mklive/files/xbps-mklive.sh b/srcpkgs/xbps-mklive/files/xbps-mklive.sh
index 4e768c44801..ce86702d6ec 100644
--- a/srcpkgs/xbps-mklive/files/xbps-mklive.sh
+++ b/srcpkgs/xbps-mklive/files/xbps-mklive.sh
@@ -175,6 +175,9 @@ info_msg "Creating /etc/motd..."
 write_etc_motd
 
 info_msg "Rebuilding and copying initramfs..."
+# Set lzma compression for the initramfs, to save space.
+sed -i -e "s|COMPRESSION_TYPE=gzip|COMPRESSION_TYPE=lzma|" \
+	$TEMP_ROOTFS/etc/initramfs-tools/initramfs.conf
 xbps-bin -r $TEMP_ROOTFS -f reconfigure kernel
 [ $? -ne 0 ] && error_out $?
 cp -f "$TEMP_ROOTFS/boot/initrd.img-${kernel_ver}" \
@@ -185,6 +188,10 @@ info_msg "Copying kernel binary..."
 cp -f "$TEMP_ROOTFS/boot/vmlinuz-${kernel_ver}" \
 	"$BUILD_TMPDIR/casper/vmlinuz" || error_out $?
 
+info_msg "Cleaning up rootfs..."
+rm -f $TEMP_ROOTFS/boot/initrd*
+rm -f $TEMP_ROOTFS/boot/vmlinuz*
+
 info_msg "Building squashed root filesystem..."
 mksquashfs "$TEMP_ROOTFS" "$BUILD_TMPDIR/casper/filesystem.squashfs" \
 	-root-becomes / && \
diff --git a/srcpkgs/xbps-mklive/template b/srcpkgs/xbps-mklive/template
index f18491c2a05..8d4af43bc76 100644
--- a/srcpkgs/xbps-mklive/template
+++ b/srcpkgs/xbps-mklive/template
@@ -1,6 +1,6 @@
 # Template file for 'xbps-mklive'
 pkgname=xbps-mklive
-version=0.1.6
+version=0.2.0
 build_style=custom-install
 short_desc="XBPS Live image maker"
 maintainer="Juan RP <xtraeme@gmail.com>"