diff --git a/magnum/common/exception.py b/magnum/common/exception.py
index 2979ab82af..33b2c36c48 100755
--- a/magnum/common/exception.py
+++ b/magnum/common/exception.py
@@ -397,3 +397,12 @@ class MemberAlreadyExists(Conflict):
 class PreDeletionFailed(Conflict):
     message = _("Failed to pre-delete resources for cluster %(cluster_uuid)s, "
                 "error: %(msg)s.")
+
+
+class NodeGroupAlreadyExists(Conflict):
+    message = _("A node group with name %(name)s already exists in the "
+                "cluster %(cluster_id)s.")
+
+
+class NodeGroupNotFound(ResourceNotFound):
+    message = _("Nodegroup %(nodegroup)s could not be found.")
diff --git a/magnum/db/api.py b/magnum/db/api.py
index 0fc014617f..07e1c61f16 100644
--- a/magnum/db/api.py
+++ b/magnum/db/api.py
@@ -540,3 +540,118 @@ class Connection(object):
         :returns: A federation.
         :raises: FederationNotFound
         """
+
+    @abc.abstractmethod
+    def create_nodegroup(self, values):
+        """Create a new nodegroup in cluster.
+
+        :param values: A dict containing several items used to identify
+                       and track the nodegroup.
+                       For example:
+                       ::
+
+                    {
+                      'uuid': uuidutils.generate_uuid(),
+                      'name': 'example',
+                      ...
+                    }
+
+        :returns: A nodegroup record.
+        """
+
+    @abc.abstractmethod
+    def destroy_nodegroup(self, cluster_id, nodegroup_id):
+        """Destroy a nodegroup.
+
+        :param cluster_id: The uuid of the cluster where the nodegroup
+                             belongs to.
+        :param nodegroup_id: The id or uuid of the nodegroup
+        """
+
+    @abc.abstractmethod
+    def update_nodegroup(self, cluster_id, nodegroup_id, values):
+        """Update properties of a nodegroup.
+
+        :param cluster_id: The uuid of the cluster where the nodegroup
+                             belongs to.
+        :param nodegroup_id: The id or uuid of a nodegroup.
+        :param values: A dict containing several items used to identify
+                       and track the nodegroup.
+                       For example:
+                       ::
+
+                    {
+                      'uuid': uuidutils.generate_uuid(),
+                      'name': 'example',
+                      ...
+                    }
+
+        :returns: A nodegroup record.
+        :raises: NodeGroupNotFound
+        """
+
+    @abc.abstractmethod
+    def get_nodegroup_by_id(self, context, cluster_id, nodegroup_id):
+        """Return a nodegroup for a given cluster uuid and nodegroup id.
+
+        :param cluster_id: The uuid of the cluster where the nodegroup
+                             belongs to.
+        :param nodegroup_id: The id of a nodegroup.
+
+        :returns: A nodegroup record.
+        :raises: NodeGroupNotFound
+        """
+
+    @abc.abstractmethod
+    def get_nodegroup_by_uuid(self, context, cluster_id, nodegroup_uuid):
+        """Return a nodegroup for a given cluster uuid and nodegroup uuid.
+
+        :param cluster_id: The uuid of the cluster where the nodegroup
+                             belongs to.
+        :param nodegroup_uuid: The uuid of a nodegroup.
+
+        :returns: A nodegroup record.
+        :raises: NodeGroupNotFound
+        """
+
+    @abc.abstractmethod
+    def get_nodegroup_by_name(self, context, cluster_id, nodegroup_name):
+        """Return a nodegroup for a given cluster uuid and nodegroup name.
+
+        :param cluster_id: The uuid of the cluster where the nodegroup
+                             belongs to.
+        :param nodegroup_name: The name of a nodegroup.
+
+        :returns: A nodegroup record.
+        :raises: NodeGroupNotFound
+        """
+
+    @abc.abstractmethod
+    def list_cluster_nodegroups(self, context, cluster_id, filters=None,
+                                limit=None, marker=None, sort_key=None,
+                                sort_dir=None):
+        """Get matching nodegroups in a given cluster.
+
+        :param context: The security context
+        :param cluster_id: The uuid of the cluster where the nodegroup
+                             belongs to.
+        :param filters: Filters to apply. Defaults to None.
+
+        :param limit: Maximum number of nodegroups to return.
+        :param marker: the last item of the previous page; we return the next
+                       result set.
+        :param sort_key: Attribute by which results should be sorted.
+        :param sort_dir: direction in which results should be sorted.
+                         (asc, desc)
+
+        :returns: A list of nodegroup records.
+        """
+
+    @abc.abstractmethod
+    def get_cluster_nodegroup_count(self, context, cluster_id):
+        """Get count of nodegroups in a given cluster.
+
+        :param cluster_id: The uuid of the cluster where the nodegroup
+                             belongs to.
+        :returns: Count of matching clusters.
+        """
diff --git a/magnum/db/sqlalchemy/alembic/versions/ac92cbae311c_add_nodegoup_table.py b/magnum/db/sqlalchemy/alembic/versions/ac92cbae311c_add_nodegoup_table.py
new file mode 100644
index 0000000000..3cbc08a6dc
--- /dev/null
+++ b/magnum/db/sqlalchemy/alembic/versions/ac92cbae311c_add_nodegoup_table.py
@@ -0,0 +1,61 @@
+# Copyright (c) 2018 European Organization for Nuclear Research.
+# All Rights Reserved.
+#
+#    Licensed under the Apache License, Version 2.0 (the "License"); you may
+#    not use this file except in compliance with the License. You may obtain
+#    a copy of the License at
+#
+#         http://www.apache.org/licenses/LICENSE-2.0
+#
+#    Unless required by applicable law or agreed to in writing, software
+#    distributed under the License is distributed on an "AS IS" BASIS, WITHOUT
+#    WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the
+#    License for the specific language governing permissions and limitations
+#    under the License.
+
+"""add nodegoup table
+
+Revision ID: ac92cbae311c
+Revises: cbbc65a86986
+Create Date: 2018-09-20 15:26:00.869885
+
+"""
+
+# revision identifiers, used by Alembic.
+revision = 'ac92cbae311c'
+down_revision = '87e62e3c7abc'
+
+from alembic import op
+
+import sqlalchemy as sa
+
+from oslo_db.sqlalchemy.types import String
+
+from magnum.db.sqlalchemy import models
+
+
+def upgrade():
+    op.create_table(
+        'nodegroup',
+        sa.Column('created_at', sa.DateTime(), nullable=True),
+        sa.Column('updated_at', sa.DateTime(), nullable=True),
+        sa.Column('id', sa.Integer(), nullable=False),
+        sa.Column('uuid', String(length=36), nullable=False),
+        sa.Column('name', String(length=255), nullable=False),
+        sa.Column('cluster_id', String(length=255), nullable=False),
+        sa.Column('project_id', String(length=255), nullable=False),
+        sa.Column('docker_volume_size', sa.Integer(), nullable=True),
+        sa.Column('labels', models.JSONEncodedDict, nullable=True),
+        sa.Column('flavor_id', String(length=255), nullable=True),
+        sa.Column('image_id', String(length=255), nullable=True),
+        sa.Column('node_addresses', models.JSONEncodedList(), nullable=True),
+        sa.Column('node_count', sa.Integer(), nullable=True),
+        sa.Column('max_node_count', sa.Integer(), nullable=True),
+        sa.Column('min_node_count', sa.Integer(), nullable=True),
+        sa.Column('role', String(length=255), nullable=True),
+        sa.Column('is_default', sa.Boolean(), default=False),
+        sa.PrimaryKeyConstraint('id'),
+        sa.UniqueConstraint('uuid', name='uniq_nodegroup0uuid'),
+        sa.UniqueConstraint('cluster_id', 'name',
+                            name='uniq_nodegroup0cluster_id0name'),
+    )
diff --git a/magnum/db/sqlalchemy/api.py b/magnum/db/sqlalchemy/api.py
index cf8886be19..a0a28522f6 100644
--- a/magnum/db/sqlalchemy/api.py
+++ b/magnum/db/sqlalchemy/api.py
@@ -762,3 +762,115 @@ class Connection(api.Connection):
             ref.update(values)
 
         return ref
+
+    def _add_nodegoup_filters(self, query, filters):
+        if filters is None:
+            filters = {}
+
+        possible_filters = ["name", "node_count", "node_addresses",
+                            "role", "is_default"]
+
+        filter_names = set(filters).intersection(possible_filters)
+        filter_dict = {filter_name: filters[filter_name]
+                       for filter_name in filter_names}
+
+        query = query.filter_by(**filter_dict)
+
+        return query
+
+    def create_nodegroup(self, values):
+        if not values.get('uuid'):
+            values['uuid'] = uuidutils.generate_uuid()
+
+        nodegroup = models.NodeGroup()
+        nodegroup.update(values)
+        try:
+            nodegroup.save()
+        except db_exc.DBDuplicateEntry:
+            raise exception.NodeGroupAlreadyExists(
+                cluster_id=values['cluster_id'], name=values['name'])
+        return nodegroup
+
+    def destroy_nodegroup(self, cluster_id, nodegroup_id):
+        session = get_session()
+        with session.begin():
+            query = model_query(models.NodeGroup, session=session)
+            query = add_identity_filter(query, nodegroup_id)
+            query = query.filter_by(cluster_id=cluster_id)
+            try:
+                query.one()
+            except NoResultFound:
+                raise exception.NodeGroupNotFound(nodegroup=nodegroup_id)
+            query.delete()
+
+    def update_nodegroup(self, cluster_id, nodegroup_id, values):
+        return self._do_update_nodegroup(cluster_id, nodegroup_id, values)
+
+    def _do_update_nodegroup(self, cluster_id, nodegroup_id, values):
+        session = get_session()
+        with session.begin():
+            query = model_query(models.NodeGroup, session=session)
+            query = add_identity_filter(query, nodegroup_id)
+            query = query.filter_by(cluster_id=cluster_id)
+            try:
+                ref = query.with_lockmode('update').one()
+            except NoResultFound:
+                raise exception.NodeGroupNotFound(nodegroup=nodegroup_id)
+
+            ref.update(values)
+        return ref
+
+    def get_nodegroup_by_id(self, context, cluster_id, nodegroup_id):
+        query = model_query(models.NodeGroup)
+        if not context.is_admin:
+            query = query.filter_by(project_id=context.project_id)
+        query = query.filter_by(cluster_id=cluster_id)
+        query = query.filter_by(id=nodegroup_id)
+        try:
+            return query.one()
+        except NoResultFound:
+            raise exception.NodeGroupNotFound(nodegroup=nodegroup_id)
+
+    def get_nodegroup_by_uuid(self, context, cluster_id, nodegroup_uuid):
+        query = model_query(models.NodeGroup)
+        if not context.is_admin:
+            query = query.filter_by(project_id=context.project_id)
+        query = query.filter_by(cluster_id=cluster_id)
+        query = query.filter_by(uuid=nodegroup_uuid)
+        try:
+            return query.one()
+        except NoResultFound:
+            raise exception.NodeGroupNotFound(nodegroup=nodegroup_uuid)
+
+    def get_nodegroup_by_name(self, context, cluster_id, nodegroup_name):
+        query = model_query(models.NodeGroup)
+        if not context.is_admin:
+            query = query.filter_by(project_id=context.project_id)
+        query = query.filter_by(cluster_id=cluster_id)
+        query = query.filter_by(name=nodegroup_name)
+        try:
+            return query.one()
+        except MultipleResultsFound:
+            raise exception.Conflict('Multiple nodegroups exist with same '
+                                     'name. Please use the nodegroup uuid '
+                                     'instead.')
+        except NoResultFound:
+            raise exception.NodeGroupNotFound(nodegroup=nodegroup_name)
+
+    def list_cluster_nodegroups(self, context, cluster_id, filters=None,
+                                limit=None, marker=None, sort_key=None,
+                                sort_dir=None):
+        query = model_query(models.NodeGroup)
+        if not context.is_admin:
+            query = query.filter_by(project_id=context.project_id)
+        query = self._add_nodegoup_filters(query, filters)
+        query = query.filter_by(cluster_id=cluster_id)
+        return _paginate_query(models.NodeGroup, limit, marker,
+                               sort_key, sort_dir, query)
+
+    def get_cluster_nodegroup_count(self, context, cluster_id):
+        query = model_query(models.NodeGroup)
+        if not context.is_admin:
+            query = query.filter_by(project_id=context.project_id)
+        query = query.filter_by(cluster_id=cluster_id)
+        return query.count()
diff --git a/magnum/db/sqlalchemy/models.py b/magnum/db/sqlalchemy/models.py
index 382e2a6cef..e43e0e30b9 100644
--- a/magnum/db/sqlalchemy/models.py
+++ b/magnum/db/sqlalchemy/models.py
@@ -260,3 +260,33 @@ class Federation(Base):
     status = Column(String(20))
     status_reason = Column(Text)
     properties = Column(JSONEncodedDict)
+
+
+class NodeGroup(Base):
+    """Represents a NodeGroup."""
+
+    __tablename__ = 'nodegroup'
+    __table_args__ = (
+        schema.UniqueConstraint('uuid', name='uniq_nodegroup0uuid'),
+        schema.UniqueConstraint(
+            'cluster_id', 'name',
+            name='uniq_nodegroup0cluster_id0name'),
+        table_args()
+    )
+    id = Column(Integer, primary_key=True)
+    uuid = Column(String(36))
+    name = Column(String(255))
+    cluster_id = Column(String(255))
+    project_id = Column(String(255))
+    docker_volume_size = Column(Integer(), nullable=True)
+    labels = Column(JSONEncodedDict, nullable=True)
+    flavor_id = Column(String(255), nullable=True)
+    image_id = Column(String(255), nullable=True)
+    node_addresses = Column(JSONEncodedList, nullable=True)
+    node_count = Column(Integer())
+    role = Column(String(255))
+    # NOTE(ttsiouts) We have to define the min and
+    # max number of nodes for each nodegroup
+    max_node_count = Column(Integer())
+    min_node_count = Column(Integer())
+    is_default = Column(Boolean, default=False)
diff --git a/magnum/objects/__init__.py b/magnum/objects/__init__.py
index 9371d3d67a..bcfce248d9 100644
--- a/magnum/objects/__init__.py
+++ b/magnum/objects/__init__.py
@@ -17,6 +17,7 @@ from magnum.objects import cluster
 from magnum.objects import cluster_template
 from magnum.objects import federation
 from magnum.objects import magnum_service
+from magnum.objects import nodegroup
 from magnum.objects import quota
 from magnum.objects import stats
 from magnum.objects import x509keypair
@@ -30,6 +31,7 @@ X509KeyPair = x509keypair.X509KeyPair
 Certificate = certificate.Certificate
 Stats = stats.Stats
 Federation = federation.Federation
+NodeGroup = nodegroup.NodeGroup
 __all__ = (Cluster,
            ClusterTemplate,
            MagnumService,
@@ -37,5 +39,6 @@ __all__ = (Cluster,
            Certificate,
            Stats,
            Quota,
-           Federation
+           Federation,
+           NodeGroup
            )
diff --git a/magnum/objects/nodegroup.py b/magnum/objects/nodegroup.py
new file mode 100644
index 0000000000..0c3e1ddc72
--- /dev/null
+++ b/magnum/objects/nodegroup.py
@@ -0,0 +1,218 @@
+# Copyright (c) 2018 European Organization for Nuclear Research.
+# All Rights Reserved.
+#
+#    Licensed under the Apache License, Version 2.0 (the "License"); you may
+#    not use this file except in compliance with the License. You may obtain
+#    a copy of the License at
+#
+#         http://www.apache.org/licenses/LICENSE-2.0
+#
+#    Unless required by applicable law or agreed to in writing, software
+#    distributed under the License is distributed on an "AS IS" BASIS, WITHOUT
+#    WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the
+#    License for the specific language governing permissions and limitations
+#    under the License.
+
+from oslo_utils import strutils
+from oslo_utils import uuidutils
+from oslo_versionedobjects import fields
+
+from magnum.db import api as dbapi
+from magnum.objects import base
+
+
+@base.MagnumObjectRegistry.register
+class NodeGroup(base.MagnumPersistentObject, base.MagnumObject,
+                base.MagnumObjectDictCompat):
+    # Version 1.0: Initial version
+
+    VERSION = '1.0'
+
+    dbapi = dbapi.get_instance()
+
+    fields = {
+        'id': fields.IntegerField(),
+        'uuid': fields.UUIDField(),
+        'name': fields.StringField(),
+        'cluster_id': fields.StringField(),
+        'project_id': fields.StringField(),
+        'docker_volume_size': fields.IntegerField(nullable=True),
+        'labels': fields.DictOfStringsField(nullable=True),
+        'flavor_id': fields.StringField(nullable=True),
+        'image_id': fields.StringField(nullable=True),
+        'node_addresses': fields.ListOfStringsField(nullable=True),
+        'node_count': fields.IntegerField(nullable=False, default=1),
+        'role': fields.StringField(),
+        'max_node_count': fields.IntegerField(nullable=True),
+        'min_node_count': fields.IntegerField(nullable=False, default=1),
+        'is_default': fields.BooleanField(default=False)
+    }
+
+    @staticmethod
+    def _from_db_object(nodegroup, db_nodegroup):
+        """Converts a database entity to a formal object."""
+        for field in nodegroup.fields:
+            nodegroup[field] = db_nodegroup[field]
+
+        nodegroup.obj_reset_changes()
+        return nodegroup
+
+    @staticmethod
+    def _from_db_object_list(db_objects, cls, context):
+        """Converts a list of database entities to a list of formal objects."""
+        return [NodeGroup._from_db_object(cls(context), obj)
+                for obj in db_objects]
+
+    @base.remotable_classmethod
+    def get(cls, context, cluster_id, nodegroup_id):
+        """Find a nodegroup based on its id or uuid and return a NodeGroup.
+
+        :param cluster_id: the of id a cluster.
+        :param nodegroup_id: the id of a nodegroup.
+        :param context: Security context
+        :returns: a :class:`NodeGroup` object.
+        """
+        if strutils.is_int_like(nodegroup_id):
+            return cls.get_by_id(context, cluster_id, nodegroup_id)
+        elif uuidutils.is_uuid_like(nodegroup_id):
+            return cls.get_by_uuid(context, cluster_id, nodegroup_id)
+        else:
+            return cls.get_by_name(context, cluster_id, nodegroup_id)
+
+    @base.remotable_classmethod
+    def get_by_id(cls, context, cluster, id_):
+        """Find a nodegroup based on its integer id and return a NodeGroup.
+
+        :param cluster: the id of a cluster.
+        :param id_: the id of a nodegroup.
+        :param context: Security context
+        :returns: a :class:`NodeGroup` object.
+        """
+        db_nodegroup = cls.dbapi.get_nodegroup_by_id(context, cluster, id_)
+        nodegroup = NodeGroup._from_db_object(cls(context), db_nodegroup)
+        return nodegroup
+
+    @base.remotable_classmethod
+    def get_by_uuid(cls, context, cluster, uuid):
+        """Find a nodegroup based on uuid and return a :class:`NodeGroup`.
+
+        :param cluster: the id of a cluster.
+        :param uuid: the uuid of a nodegroup.
+        :param context: Security context
+        :returns: a :class:`NodeGroup` object.
+        """
+        db_nodegroup = cls.dbapi.get_nodegroup_by_uuid(context, cluster, uuid)
+        nodegroup = NodeGroup._from_db_object(cls(context), db_nodegroup)
+        return nodegroup
+
+    @base.remotable_classmethod
+    def get_by_name(cls, context, cluster, name):
+        """Find a nodegroup based on name and return a NodeGroup object.
+
+        :param cluster: the id of a cluster.
+        :param name: the logical name of a nodegroup.
+        :param context: Security context
+        :returns: a :class:`NodeGroup` object.
+        """
+        db_nodegroup = cls.dbapi.get_nodegroup_by_name(context, cluster, name)
+        nodegroup = NodeGroup._from_db_object(cls(context), db_nodegroup)
+        return nodegroup
+
+    @base.remotable_classmethod
+    def get_count_all(cls, context, cluster_id):
+        """Get count of nodegroups in cluster.
+
+        :param context: The security context
+        :param cluster_id: The uuid of the cluster
+        :returns: Count of nodegroups in the cluster.
+        """
+        return cls.dbapi.get_cluster_nodegroup_count(context, cluster_id)
+
+    @base.remotable_classmethod
+    def list(cls, context, cluster, limit=None, marker=None,
+             sort_key=None, sort_dir=None, filters=None):
+        """Return a list of NodeGroup objects.
+
+        :param context: Security context.
+        :param cluster: The cluster uuid or name
+        :param limit: maximum number of resources to return in a single result.
+        :param marker: pagination marker for large data sets.
+        :param sort_key: column to sort results by.
+        :param sort_dir: direction to sort. "asc" or "desc".
+        :param filters: filter dict, can includes 'name', 'node_count',
+                        'stack_id', 'node_addresses',
+                        'status'(should be a status list).
+        :returns: a list of :class:`NodeGroup` objects.
+
+        """
+        db_nodegroups = cls.dbapi.list_cluster_nodegroups(context, cluster,
+                                                          limit=limit,
+                                                          marker=marker,
+                                                          sort_key=sort_key,
+                                                          sort_dir=sort_dir,
+                                                          filters=filters)
+        return NodeGroup._from_db_object_list(db_nodegroups, cls, context)
+
+    @base.remotable
+    def create(self, context=None):
+        """Create a nodegroup record in the DB.
+
+        :param context: Security context
+        """
+        values = self.obj_get_changes()
+        db_nodegroup = self.dbapi.create_nodegroup(values)
+        self._from_db_object(self, db_nodegroup)
+
+    @base.remotable
+    def destroy(self, context=None):
+        """Delete the NodeGroup from the DB.
+
+        :param context: Security context.
+        """
+        self.dbapi.destroy_nodegroup(self.cluster_id, self.uuid)
+        self.obj_reset_changes()
+
+    @base.remotable
+    def save(self, context=None):
+        """Save updates to this NodeGroup.
+
+        Updates will be made column by column based on the result
+        of self.what_changed().
+
+        :param context: Security context.
+        """
+        updates = self.obj_get_changes()
+        self.dbapi.update_nodegroup(self.cluster_id, self.uuid, updates)
+
+        self.obj_reset_changes()
+
+    @base.remotable
+    def refresh(self, context=None):
+        """Loads updates for this NodeGroup.
+
+        Loads a NodeGroup with the same uuid from the database and
+        checks for updated attributes. Updates are applied from
+        the loaded NogeGroup column by column, if there are any updates.
+
+        :param context: Security context.
+        """
+        current = self.__class__.get_by_uuid(self._context,
+                                             cluster=self.cluster_id,
+                                             uuid=self.uuid)
+        for field in self.fields:
+            if self.obj_attr_is_set(field) and self[field] != current[field]:
+                self[field] = current[field]
+
+    @base.remotable_classmethod
+    def update_nodegroup(cls, context, cluster_id, nodegroup_id, values):
+        """Updates a NodeGroup.
+
+        :param context: Security context.
+        :param cluster_id:
+        :param nodegroup_id:
+        :param values: a dictionary with the changed values
+        """
+        current = cls.get(context, cluster_id, nodegroup_id)
+        db_nodegroup = cls.dbapi.update_nodegroup(cluster_id, current.uuid,
+                                                  values)
+        return NodeGroup._from_db_object(cls(context), db_nodegroup)
diff --git a/magnum/tests/unit/db/test_nodegroup.py b/magnum/tests/unit/db/test_nodegroup.py
new file mode 100644
index 0000000000..627ed88c72
--- /dev/null
+++ b/magnum/tests/unit/db/test_nodegroup.py
@@ -0,0 +1,228 @@
+# Copyright (c) 2018 European Organization for Nuclear Research.
+# All Rights Reserved.
+#
+#    Licensed under the Apache License, Version 2.0 (the "License"); you may
+#    not use this file except in compliance with the License. You may obtain
+#    a copy of the License at
+#
+#         http://www.apache.org/licenses/LICENSE-2.0
+#
+#    Unless required by applicable law or agreed to in writing, software
+#    distributed under the License is distributed on an "AS IS" BASIS, WITHOUT
+#    WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the
+#    License for the specific language governing permissions and limitations
+#    under the License.
+
+"""Tests for manipulating NodeGroups via the DB API"""
+from oslo_utils import uuidutils
+
+from magnum.common import exception
+from magnum.tests.unit.db import base
+from magnum.tests.unit.db import utils
+
+
+class DbNodeGroupTestCase(base.DbTestCase):
+
+    def test_create_nodegroup(self):
+        utils.create_test_nodegroup()
+
+    def test_create_nodegroup_already_exists(self):
+        utils.create_test_nodegroup()
+        self.assertRaises(exception.NodeGroupAlreadyExists,
+                          utils.create_test_nodegroup)
+
+    def test_create_nodegroup_same_name_same_cluster(self):
+        # NOTE(ttsiouts): Don't allow the same name for nodegroups
+        # in the same cluster.
+        nodegroup = utils.create_test_nodegroup()
+        new = {
+            'name': nodegroup.name,
+            'id': nodegroup.id + 8,
+            'cluster_id': nodegroup.cluster_id
+        }
+        self.assertRaises(exception.NodeGroupAlreadyExists,
+                          utils.create_test_nodegroup, **new)
+
+    def test_create_nodegroup_same_name_different_cluster(self):
+        # NOTE(ttsiouts): Verify nodegroups with the same name
+        # but in different clusters are allowed.
+        nodegroup = utils.create_test_nodegroup()
+        new = {
+            'name': nodegroup.name,
+            'id': nodegroup.id + 8,
+            'cluster_id': 'fake-cluster-uuid',
+            'uuid': 'fake-nodegroup-uuid',
+            'project_id': nodegroup.project_id,
+        }
+        try:
+            utils.create_test_nodegroup(**new)
+        except Exception:
+            # Something went wrong, just fail the testcase
+            self.assertTrue(False)
+
+    def test_get_nodegroup_by_id(self):
+        nodegroup = utils.create_test_nodegroup()
+        res = self.dbapi.get_nodegroup_by_id(self.context,
+                                             nodegroup.cluster_id,
+                                             nodegroup.id)
+        self.assertEqual(nodegroup.id, res.id)
+        self.assertEqual(nodegroup.uuid, res.uuid)
+
+    def test_get_nodegroup_by_name(self):
+        nodegroup = utils.create_test_nodegroup()
+        res = self.dbapi.get_nodegroup_by_name(self.context,
+                                               nodegroup.cluster_id,
+                                               nodegroup.name)
+        self.assertEqual(nodegroup.name, res.name)
+        self.assertEqual(nodegroup.uuid, res.uuid)
+
+    def test_get_cluster_by_uuid(self):
+        nodegroup = utils.create_test_nodegroup()
+        res = self.dbapi.get_nodegroup_by_uuid(self.context,
+                                               nodegroup.cluster_id,
+                                               nodegroup.uuid)
+        self.assertEqual(nodegroup.id, res.id)
+        self.assertEqual(nodegroup.uuid, res.uuid)
+
+    def test_get_nodegroup_that_does_not_exist(self):
+        # Create a cluster with no nodegroups
+        cluster = utils.create_test_cluster()
+        self.assertRaises(exception.NodeGroupNotFound,
+                          self.dbapi.get_nodegroup_by_id,
+                          self.context, cluster.uuid,  100)
+        self.assertRaises(exception.NodeGroupNotFound,
+                          self.dbapi.get_nodegroup_by_uuid,
+                          self.context, cluster.uuid,
+                          '12345678-9999-0000-aaaa-123456789012')
+        self.assertRaises(exception.NodeGroupNotFound,
+                          self.dbapi.get_nodegroup_by_name,
+                          self.context, cluster.uuid, 'not_found')
+
+    def test_get_nodegroups_in_cluster(self):
+        uuids_in_cluster = []
+        uuids_not_in_cluster = []
+        cluster = utils.create_test_cluster(uuid=uuidutils.generate_uuid())
+        for i in range(2):
+            ng = utils.create_test_nodegroup(uuid=uuidutils.generate_uuid(),
+                                             name='test%(id)s' % {'id': i},
+                                             cluster_id=cluster.uuid)
+            uuids_in_cluster.append(ng.uuid)
+        for i in range(2):
+            ng = utils.create_test_nodegroup(uuid=uuidutils.generate_uuid(),
+                                             name='test%(id)s' % {'id': i},
+                                             cluster_id='fake_cluster')
+            uuids_not_in_cluster.append(ng.uuid)
+        res = self.dbapi.list_cluster_nodegroups(self.context, cluster.uuid)
+        res_uuids = [r.uuid for r in res]
+        self.assertEqual(sorted(uuids_in_cluster), sorted(res_uuids))
+        for uuid in uuids_not_in_cluster:
+            self.assertNotIn(uuid, res_uuids)
+
+    def test_get_cluster_list_sorted(self):
+        uuids = []
+        cluster = utils.create_test_cluster(uuid=uuidutils.generate_uuid())
+        for i in range(5):
+            ng = utils.create_test_nodegroup(uuid=uuidutils.generate_uuid(),
+                                             name='test%(id)s' % {'id': i},
+                                             cluster_id=cluster.uuid)
+            uuids.append(ng.uuid)
+        res = self.dbapi.list_cluster_nodegroups(self.context, cluster.uuid,
+                                                 sort_key='uuid')
+        res_uuids = [r.uuid for r in res]
+        self.assertEqual(sorted(uuids), res_uuids)
+
+        self.assertRaises(exception.InvalidParameterValue,
+                          self.dbapi.list_cluster_nodegroups,
+                          self.context,
+                          cluster.uuid,
+                          sort_key='not-there')
+
+    def test_get_nodegroup_list_with_filters(self):
+        cluster_dict = utils.get_test_cluster(
+            id=1, uuid=uuidutils.generate_uuid())
+        cluster = self.dbapi.create_cluster(cluster_dict)
+
+        group1 = utils.create_test_nodegroup(
+            name='group-one',
+            cluster_id=cluster.uuid,
+            flavor_id=1,
+            uuid=uuidutils.generate_uuid(),
+            node_count=1)
+        group2 = utils.create_test_nodegroup(
+            name='group-two',
+            cluster_id=cluster.uuid,
+            flavor_id=1,
+            uuid=uuidutils.generate_uuid(),
+            node_count=1)
+        group3 = utils.create_test_nodegroup(
+            name='group-four',
+            cluster_id=cluster.uuid,
+            flavor_id=2,
+            uuid=uuidutils.generate_uuid(),
+            node_count=3)
+
+        filters = {'name': 'group-one'}
+        res = self.dbapi.list_cluster_nodegroups(
+            self.context, cluster.uuid, filters=filters)
+        self.assertEqual([group1.id], [r.id for r in res])
+
+        filters = {'node_count': 1}
+        res = self.dbapi.list_cluster_nodegroups(
+            self.context, cluster.uuid, filters=filters)
+        self.assertEqual([group1.id, group2.id], [r.id for r in res])
+
+        filters = {'flavor_id': 2, 'node_count': 3}
+        res = self.dbapi.list_cluster_nodegroups(
+            self.context, cluster.uuid, filters=filters)
+        self.assertEqual([group3.id], [r.id for r in res])
+
+        filters = {'name': 'group-five'}
+        res = self.dbapi.list_cluster_nodegroups(
+            self.context, cluster.uuid, filters=filters)
+        self.assertEqual([], [r.id for r in res])
+
+    def test_destroy_nodegroup(self):
+        cluster = utils.create_test_cluster()
+        nodegroup = utils.create_test_nodegroup()
+        self.assertEqual(nodegroup.uuid, self.dbapi.get_nodegroup_by_uuid(
+            self.context, cluster.uuid, nodegroup.uuid).uuid)
+        self.dbapi.destroy_nodegroup(cluster.uuid, nodegroup.uuid)
+
+        self.assertRaises(exception.NodeGroupNotFound,
+                          self.dbapi.get_nodegroup_by_uuid,
+                          self.context, cluster.uuid, nodegroup.uuid)
+
+        self.assertRaises(exception.NodeGroupNotFound,
+                          self.dbapi.destroy_nodegroup, cluster.uuid,
+                          nodegroup.uuid)
+
+    def test_destroy_nodegroup_by_uuid(self):
+        cluster = utils.create_test_cluster()
+        nodegroup = utils.create_test_nodegroup()
+        self.assertIsNotNone(self.dbapi.get_nodegroup_by_uuid(self.context,
+                                                              cluster.uuid,
+                                                              nodegroup.uuid))
+        self.dbapi.destroy_nodegroup(cluster.uuid, nodegroup.uuid)
+        self.assertRaises(exception.NodeGroupNotFound,
+                          self.dbapi.get_nodegroup_by_uuid, self.context,
+                          cluster.uuid, nodegroup.uuid)
+
+    def test_destroy_cluster_by_uuid_that_does_not_exist(self):
+        self.assertRaises(exception.NodeGroupNotFound,
+                          self.dbapi.destroy_nodegroup, 'c_uuid',
+                          '12345678-9999-0000-aaaa-123456789012')
+
+    def test_update_cluster(self):
+        nodegroup = utils.create_test_nodegroup()
+        old_flavor = nodegroup.flavor_id
+        new_flavor = 5
+        self.assertNotEqual(old_flavor, new_flavor)
+        res = self.dbapi.update_nodegroup(nodegroup.cluster_id, nodegroup.id,
+                                          {'flavor_id': new_flavor})
+        self.assertEqual(new_flavor, res.flavor_id)
+
+    def test_update_nodegroup_not_found(self):
+        uuid = uuidutils.generate_uuid()
+        self.assertRaises(exception.NodeGroupNotFound,
+                          self.dbapi.update_nodegroup, "c_uuid", uuid,
+                          {'node_count': 5})
diff --git a/magnum/tests/unit/db/utils.py b/magnum/tests/unit/db/utils.py
index 8db8b3ad16..ecef9106a5 100644
--- a/magnum/tests/unit/db/utils.py
+++ b/magnum/tests/unit/db/utils.py
@@ -267,3 +267,40 @@ def create_test_federation(**kw):
         del federation['id']
     dbapi = db_api.get_instance()
     return dbapi.create_federation(federation)
+
+
+def get_test_nodegroup(**kw):
+    return {
+        'id': kw.get('id', 12),
+        'uuid': kw.get('uuid', '483203a3-dbee-4a9c-9d65-9820512f4df8'),
+        'name': kw.get('name', 'nodegroup1'),
+        'cluster_id': kw.get('cluster_id',
+                             '5d12f6fd-a196-4bf0-ae4c-1f639a523a52'),
+        'project_id': kw.get('project_id', 'fake_project'),
+        'docker_volume_size': kw.get('docker_volume_size'),
+        'labels': kw.get('labels'),
+        'flavor_id': kw.get('flavor_id', None),
+        'image_id': kw.get('image_id', None),
+        'node_addresses': kw.get('node_addresses', ['172.17.2.4']),
+        'node_count': kw.get('node_count', 3),
+        'role': kw.get('role', 'worker'),
+        'max_node_count': kw.get('max_node_count', None),
+        'min_node_count': kw.get('min_node_count', 1),
+        'is_default': kw.get('is_default', True),
+        'created_at': kw.get('created_at'),
+        'updated_at': kw.get('updated_at')
+    }
+
+
+def create_test_nodegroup(**kw):
+    """Create test nodegroup entry in DB and return federation DB object.
+
+    :param kw: kwargs with overriding values for nodegroup attributes.
+    :return: Test nodegroup DB object.
+    """
+    nodegroup = get_test_nodegroup(**kw)
+    # Let DB generate ID if it isn't specified explicitly
+    if 'id' not in kw:
+        del nodegroup['id']
+    dbapi = db_api.get_instance()
+    return dbapi.create_nodegroup(nodegroup)
diff --git a/magnum/tests/unit/objects/test_nodegroup.py b/magnum/tests/unit/objects/test_nodegroup.py
new file mode 100644
index 0000000000..e1aedbbb64
--- /dev/null
+++ b/magnum/tests/unit/objects/test_nodegroup.py
@@ -0,0 +1,168 @@
+# Copyright (c) 2018 European Organization for Nuclear Research.
+# All Rights Reserved.
+#
+#    Licensed under the Apache License, Version 2.0 (the "License"); you may
+#    not use this file except in compliance with the License. You may obtain
+#    a copy of the License at
+#
+#         http://www.apache.org/licenses/LICENSE-2.0
+#
+#    Unless required by applicable law or agreed to in writing, software
+#    distributed under the License is distributed on an "AS IS" BASIS, WITHOUT
+#    WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the
+#    License for the specific language governing permissions and limitations
+#    under the License.
+
+import mock
+from oslo_utils import uuidutils
+from testtools.matchers import HasLength
+
+from magnum import objects
+from magnum.tests.unit.db import base
+from magnum.tests.unit.db import utils
+
+
+class TestNodeGroupObject(base.DbTestCase):
+
+    def setUp(self):
+        super(TestNodeGroupObject, self).setUp()
+        self.fake_nodegroup = utils.get_test_nodegroup()
+        self.fake_nodegroup['docker_volume_size'] = 3
+        self.fake_nodegroup['labels'] = {}
+
+    def test_get_by_id(self):
+        nodegroup_id = self.fake_nodegroup['id']
+        cluster_id = self.fake_nodegroup['cluster_id']
+        with mock.patch.object(self.dbapi, 'get_nodegroup_by_id',
+                               autospec=True) as mock_get_nodegroup:
+            mock_get_nodegroup.return_value = self.fake_nodegroup
+            nodegroup = objects.NodeGroup.get(self.context, cluster_id,
+                                              nodegroup_id)
+            mock_get_nodegroup.assert_called_once_with(self.context,
+                                                       cluster_id,
+                                                       nodegroup_id)
+            self.assertEqual(self.context, nodegroup._context)
+
+    def test_get_by_uuid(self):
+        uuid = self.fake_nodegroup['uuid']
+        cluster_id = self.fake_nodegroup['cluster_id']
+        with mock.patch.object(self.dbapi, 'get_nodegroup_by_uuid',
+                               autospec=True) as mock_get_nodegroup:
+            mock_get_nodegroup.return_value = self.fake_nodegroup
+            nodegroup = objects.NodeGroup.get(self.context, cluster_id, uuid)
+            mock_get_nodegroup.assert_called_once_with(self.context,
+                                                       cluster_id, uuid)
+            self.assertEqual(self.context, nodegroup._context)
+
+    def test_get_by_name(self):
+        name = self.fake_nodegroup['name']
+        cluster_id = self.fake_nodegroup['cluster_id']
+        with mock.patch.object(self.dbapi, 'get_nodegroup_by_name',
+                               autospec=True) as mock_get_nodegroup:
+            mock_get_nodegroup.return_value = self.fake_nodegroup
+            nodegroup = objects.NodeGroup.get(self.context, cluster_id, name)
+            mock_get_nodegroup.assert_called_once_with(self.context,
+                                                       cluster_id, name)
+            self.assertEqual(self.context, nodegroup._context)
+
+    def test_list(self):
+        cluster_id = self.fake_nodegroup['cluster_id']
+        with mock.patch.object(self.dbapi, 'list_cluster_nodegroups',
+                               autospec=True) as mock_get_list:
+            mock_get_list.return_value = [self.fake_nodegroup]
+            nodegroups = objects.NodeGroup.list(self.context, cluster_id)
+            self.assertEqual(1, mock_get_list.call_count)
+            mock_get_list.assert_called_once_with(
+                self.context, cluster_id, limit=None, marker=None,
+                filters=None, sort_dir=None, sort_key=None)
+            self.assertThat(nodegroups, HasLength(1))
+            self.assertIsInstance(nodegroups[0], objects.NodeGroup)
+            self.assertEqual(self.context, nodegroups[0]._context)
+
+    def test_list_with_filters(self):
+        cluster_id = self.fake_nodegroup['cluster_id']
+        with mock.patch.object(self.dbapi, 'list_cluster_nodegroups',
+                               autospec=True) as mock_get_list:
+            mock_get_list.return_value = [self.fake_nodegroup]
+            filters = {'name': self.fake_nodegroup['name']}
+            nodegroups = objects.NodeGroup.list(self.context, cluster_id,
+                                                filters=filters)
+            self.assertEqual(1, mock_get_list.call_count)
+            mock_get_list.assert_called_once_with(
+                self.context, cluster_id, limit=None, marker=None,
+                filters=filters, sort_dir=None, sort_key=None)
+            self.assertThat(nodegroups, HasLength(1))
+            self.assertIsInstance(nodegroups[0], objects.NodeGroup)
+            self.assertEqual(self.context, nodegroups[0]._context)
+
+    def test_create(self):
+        with mock.patch.object(self.dbapi, 'create_nodegroup',
+                               autospec=True) as mock_create_nodegroup:
+            mock_create_nodegroup.return_value = self.fake_nodegroup
+            nodegroup = objects.NodeGroup(self.context, **self.fake_nodegroup)
+            nodegroup.create()
+            mock_create_nodegroup.assert_called_once_with(self.fake_nodegroup)
+            self.assertEqual(self.context, nodegroup._context)
+
+    def test_destroy(self):
+        uuid = self.fake_nodegroup['uuid']
+        cluster_id = self.fake_nodegroup['cluster_id']
+        with mock.patch.object(self.dbapi, 'get_nodegroup_by_uuid',
+                               autospec=True) as mock_get_nodegroup:
+            mock_get_nodegroup.return_value = self.fake_nodegroup
+            with mock.patch.object(self.dbapi, 'destroy_nodegroup',
+                                   autospec=True) as mock_destroy_nodegroup:
+                nodegroup = objects.NodeGroup.get_by_uuid(self.context,
+                                                          cluster_id,
+                                                          uuid)
+                nodegroup.destroy()
+                mock_get_nodegroup.assert_called_once_with(self.context,
+                                                           cluster_id,
+                                                           uuid)
+                mock_destroy_nodegroup.assert_called_once_with(cluster_id,
+                                                               uuid)
+                self.assertEqual(self.context, nodegroup._context)
+
+    def test_save(self):
+        uuid = self.fake_nodegroup['uuid']
+        cluster_id = self.fake_nodegroup['cluster_id']
+        with mock.patch.object(self.dbapi, 'get_nodegroup_by_uuid',
+                               autospec=True) as mock_get_nodegroup:
+            mock_get_nodegroup.return_value = self.fake_nodegroup
+            with mock.patch.object(self.dbapi, 'update_nodegroup',
+                                   autospec=True) as mock_update_nodegroup:
+                nodegroup = objects.NodeGroup.get_by_uuid(self.context,
+                                                          cluster_id,
+                                                          uuid)
+                nodegroup.node_count = 10
+                nodegroup.save()
+
+                mock_get_nodegroup.assert_called_once_with(self.context,
+                                                           cluster_id,
+                                                           uuid)
+                expected_changes = {
+                    'node_count': 10,
+                }
+                mock_update_nodegroup.assert_called_once_with(
+                    cluster_id, uuid, expected_changes)
+                self.assertEqual(self.context, nodegroup._context)
+
+    def test_refresh(self):
+        uuid = self.fake_nodegroup['uuid']
+        cluster_id = self.fake_nodegroup['cluster_id']
+        new_uuid = uuidutils.generate_uuid()
+        returns = [dict(self.fake_nodegroup, uuid=uuid),
+                   dict(self.fake_nodegroup, uuid=new_uuid)]
+        expected = [mock.call(self.context, cluster_id, uuid),
+                    mock.call(self.context, cluster_id, uuid)]
+        with mock.patch.object(self.dbapi, 'get_nodegroup_by_uuid',
+                               side_effect=returns,
+                               autospec=True) as mock_get_nodegroup:
+            nodegroup = objects.NodeGroup.get_by_uuid(self.context,
+                                                      cluster_id,
+                                                      uuid)
+            self.assertEqual(uuid, nodegroup.uuid)
+            nodegroup.refresh()
+            self.assertEqual(new_uuid, nodegroup.uuid)
+            self.assertEqual(expected, mock_get_nodegroup.call_args_list)
+            self.assertEqual(self.context, nodegroup._context)
diff --git a/magnum/tests/unit/objects/test_objects.py b/magnum/tests/unit/objects/test_objects.py
index b64dfc92de..63237833fb 100644
--- a/magnum/tests/unit/objects/test_objects.py
+++ b/magnum/tests/unit/objects/test_objects.py
@@ -363,7 +363,8 @@ object_data = {
     'MagnumService': '1.0-2d397ec59b0046bd5ec35cd3e06efeca',
     'Stats': '1.0-73a1cd6e3c0294c932a66547faba216c',
     'Quota': '1.0-94e100aebfa88f7d8428e007f2049c18',
-    'Federation': '1.0-166da281432b083f0e4b851336e12e20'
+    'Federation': '1.0-166da281432b083f0e4b851336e12e20',
+    'NodeGroup': '1.0-75e1378a800040312c59f89546a51d74'
 }