diff --git a/CMakeLists.txt b/CMakeLists.txt
index 7f872d8..3c48e55 100644
--- a/CMakeLists.txt
+++ b/CMakeLists.txt
@@ -24,6 +24,8 @@ set(DUSK_SOURCES_DIR "${DUSK_ROOT_DIR}/src")
 set(DUSK_TEMP_DIR "${DUSK_BUILD_DIR}/temp")
 set(DUSK_TOOLS_DIR "${DUSK_ROOT_DIR}/tools")
 set(DUSK_DATA_DIR "${DUSK_ROOT_DIR}/data")
+set(DUSK_ASSETS_DIR "${DUSK_ROOT_DIR}/assets")
+set(DUSK_BUILT_ASSETS_DIR "${DUSK_BUILD_DIR}/assets" CACHE INTERNAL ${DUSK_CACHE_TARGET})
 set(DUSK_GENERATED_HEADERS_DIR "${DUSK_BUILD_DIR}/generated")
 set(DUSK_TARGET_NAME "Dusk" CACHE INTERNAL ${DUSK_CACHE_TARGET})
 set(DUSK_BUILD_BINARY ${DUSK_BUILD_DIR}/Dusk CACHE INTERNAL ${DUSK_CACHE_TARGET})
@@ -88,14 +90,18 @@ string(JOIN "," DUSK_ASSETS_ARGUMENTS ${DUSK_ASSETS})
 add_custom_target(DUSK_ASSETS_BUILT ALL
   COMMAND
     ${Python3_EXECUTABLE} ${DUSK_TOOLS_DIR}/assetstool/assets.py
-      --output ${DUSK_GENERATED_HEADERS_DIR}/assets
+      --assets ${DUSK_ASSETS_DIR}
+      --build-type wad
+      --output-assets ${DUSK_BUILT_ASSETS_DIR}
+      --output-file ${DUSK_BUILD_DIR}/dusk.dsk
+      --output-headers ${DUSK_GENERATED_HEADERS_DIR}/asset/assetbundle.h
       --input ${DUSK_ASSETS_ARGUMENTS}
   COMMENT
     "Creating assets build directory ${DUSK_ASSETS}"
 )
 add_dependencies(${DUSK_TARGET_NAME} DUSK_ASSETS_BUILT)
 
-# Postbuild, create PBP file for PSP.
+# Postbuild
 if(DUSK_TARGET_SYSTEM STREQUAL "psp")
   create_pbp_file(
     TARGET "${DUSK_TARGET_NAME}"
diff --git a/src/asset/CMakeLists.txt b/src/asset/CMakeLists.txt
index d708d97..afa05a7 100644
--- a/src/asset/CMakeLists.txt
+++ b/src/asset/CMakeLists.txt
@@ -7,6 +7,5 @@
 target_sources(${DUSK_TARGET_NAME}
   PRIVATE
     asset.c
-    assetraw.c
     assetsystem.c
 )
\ No newline at end of file
diff --git a/src/asset/asset.c b/src/asset/asset.c
index d02d2d4..e016193 100644
--- a/src/asset/asset.c
+++ b/src/asset/asset.c
@@ -7,15 +7,6 @@
 
 #include "asset.h"
 
-assetcallbacks_t ASSET_CALLBACKS[] = {
-  {
-    .init = assetRawInit,
-    .loadAsync = assetRawLoadAsync,
-    .loadSync = assetRawLoadSync,
-    .dispose = assetRawDispose
-  }
-};
-
 void assetInit() {
 
 }
\ No newline at end of file
diff --git a/tools/assetstool/args.py b/tools/assetstool/args.py
new file mode 100644
index 0000000..4d38222
--- /dev/null
+++ b/tools/assetstool/args.py
@@ -0,0 +1,21 @@
+import os
+import argparse
+import sys
+
+# Check if the script is run with the correct arguments
+parser = argparse.ArgumentParser(description="Generate chunk header files")
+parser.add_argument('--assets', required=True, help='Dir to output built assets')
+parser.add_argument('--build-type', choices=['wad', 'header'], default='raw', help='Type of build to perform')
+parser.add_argument('--output-file', help='Output file for built assets (required for wad build)')
+parser.add_argument('--output-headers', help='Output header file for built assets (required for header build)')
+parser.add_argument('--output-assets', help='Output directory for built assets (required for raw build)')
+parser.add_argument('--input', required=True, help='Input assets to process', nargs='+')
+args = parser.parse_args()
+
+inputAssets = []
+for inputArg in args.input:
+  inputAssets.extend(inputArg.split(','))
+  
+if not inputAssets:
+  print("Error: No input assets provided.")
+  sys.exit(1)
\ No newline at end of file
diff --git a/tools/assetstool/assethelpers.py b/tools/assetstool/assethelpers.py
new file mode 100644
index 0000000..a9060c3
--- /dev/null
+++ b/tools/assetstool/assethelpers.py
@@ -0,0 +1,6 @@
+import os
+from args import args
+
+def getAssetRelativePath(fullPath):
+  # Get the relative path to the asset
+  return os.path.relpath(fullPath, start=args.assets).replace('\\', '/')
diff --git a/tools/assetstool/assetparser.py b/tools/assetstool/assetparser.py
deleted file mode 100644
index 4cbc98a..0000000
--- a/tools/assetstool/assetparser.py
+++ /dev/null
@@ -1,17 +0,0 @@
-import os
-import sys
-from tilesetparser import parseTileset
-from imageparser import parseImage
-
-def parseAsset(assetPath):
-  if not os.path.isfile(assetPath):
-    print(f"Error: Input asset '{assetPath}' does not exist.")
-    sys.exit(1)
-
-  if assetPath.endswith(".tsx"):
-    return parseTileset(assetPath)
-  elif assetPath.endswith(".png"):
-    return parseImage(assetPath)
-  else:
-    print(f"Warning: Unsupported asset type for '{assetPath}'. Skipping.")
-    return []
\ No newline at end of file
diff --git a/tools/assetstool/assets.py b/tools/assetstool/assets.py
index aea1038..95ba826 100644
--- a/tools/assetstool/assets.py
+++ b/tools/assetstool/assets.py
@@ -1,31 +1,14 @@
 import sys, os
-import argparse
-from assetparser import parseAsset
-from header import setOutputDir
-
-# Check if the script is run with the correct arguments
-parser = argparse.ArgumentParser(description="Generate chunk header files")
-parser.add_argument('--output', required=True, help='Dir to output headers')
-parser.add_argument('--input', required=True, help='Input assets to process', nargs='+')
-args = parser.parse_args()
+from args import inputAssets
+from processasset import processAsset
 
 # Setup headers directory.
-setOutputDir(args.output)
-outputHeaders = []
+# setOutputDir(args.output)
+# outputHeaders = []
 
-# Create output directory if it doesn't exist
-if not os.path.exists(args.output):
-  os.makedirs(args.output)
-
-# Split input assets by comma
-inputAssets = []
-for inputArg in args.input:
-  inputAssets.extend(inputArg.split(','))
-
-# Begin processing assets
-if not inputAssets:
-  print("Error: No input assets provided.")
-  sys.exit(1)
+# # Create output directory if it doesn't exist
+# if not os.path.exists(args.output):
+#   os.makedirs(args.output)
 
 for asset in inputAssets:
-  outputHeaders.extend(parseAsset(asset))
\ No newline at end of file
+  processAsset(asset)
\ No newline at end of file
diff --git a/tools/assetstool/header.py b/tools/assetstool/header.py
deleted file mode 100644
index 2a6b0de..0000000
--- a/tools/assetstool/header.py
+++ /dev/null
@@ -1,15 +0,0 @@
-import os
-
-def setOutputDir(outputDir):
-  global OUTPUT_DIR
-  OUTPUT_DIR = outputDir
-
-def getOutputDir():
-  return OUTPUT_DIR
-
-def getHeaderInclude(headerPath):
-  outputDir = getOutputDir()
-  relPath = os.path.relpath(headerPath, outputDir)
-  path = relPath.replace('\\', '/')  # Use forward slashes for includes
-  print(f"  Including header: {path}")
-  return f'#include "{path}"'
\ No newline at end of file
diff --git a/tools/assetstool/imageparser.py b/tools/assetstool/imageparser.py
deleted file mode 100644
index 7715e07..0000000
--- a/tools/assetstool/imageparser.py
+++ /dev/null
@@ -1,34 +0,0 @@
-import os
-from os import abort
-from header import getOutputDir
-from PIL import Image
-
-def parseImage(imagePath):
-  print(f"Parsing image: {imagePath}")
-  if not os.path.isfile(imagePath):
-    abort(f"Error: Image file {imagePath} does not exist")
-
-  outputFile = os.path.join(getOutputDir(), f"image_{os.path.basename(imagePath)}.h")
-  dataOut = ""
-  dataOut += f"// Auto-generated image header for {os.path.basename(imagePath)}\n"
-  dataOut += f"#pragma once\n"
-  dataOut += f"#include \"asset/assetimage.h\"\n\n"
-
-  name = os.path.splitext(os.path.basename(imagePath))[0]
-  name = name.upper().replace(' ', '_')
-  
-  dataOut += f"static const assetimage_t IMAGE_{name} = {{\n"
-  try:
-    with Image.open(imagePath) as img:
-      width, height = img.size
-      dataOut += f"  .width = {width},\n"
-      dataOut += f"  .height = {height},\n"
-  except Exception as e:
-    abort(f"Error: Unable to open image {imagePath}: {e}") 
-    
-  dataOut += f"}};\n"
-
-  with open(outputFile, 'w') as f:
-    f.write(dataOut)
-
-  return [ outputFile ]
\ No newline at end of file
diff --git a/tools/assetstool/processasset.py b/tools/assetstool/processasset.py
new file mode 100644
index 0000000..eb53bc6
--- /dev/null
+++ b/tools/assetstool/processasset.py
@@ -0,0 +1,14 @@
+from processtileset import processTileset
+
+processedAssets = []
+
+def processAsset(assetPath):
+  if assetPath in processedAssets:
+    return
+  
+  processedAssets.append(assetPath)
+
+  # Handle tiled tilesets
+  if assetPath.endswith('.tsx'):
+    processTileset(assetPath)
+    return
\ No newline at end of file
diff --git a/tools/assetstool/processtileset.py b/tools/assetstool/processtileset.py
new file mode 100644
index 0000000..baad0ea
--- /dev/null
+++ b/tools/assetstool/processtileset.py
@@ -0,0 +1,42 @@
+import sys, os
+import xml.etree.ElementTree as ET
+from assethelpers import getAssetRelativePath
+
+def processTileset(assetPath):
+  # Process the tileset file
+  print(f"Processing tileset: {assetPath}")
+
+  # Load the tileset XML
+  tree = ET.parse(assetPath)
+  root = tree.getroot()
+
+  # Needs tilewidth, tileheight, tilecount and columns attributes
+  if not all(attr in root.attrib for attr in ['tilewidth', 'tileheight', 'tilecount', 'columns']):
+    print(f"Error: Tileset {assetPath} is missing required attributes.")
+    return
+  
+  tilewidth = int(root.attrib.get('tilewidth', 0))
+  tileheight = int(root.attrib.get('tileheight', 0))
+  tilecount = int(root.attrib.get('tilecount', 0))
+  columns = int(root.attrib.get('columns', 0))
+  
+  if tilewidth <= 0 or tileheight <= 0 or tilecount <= 0 or columns <= 0:
+    print(f"Error: Tileset {assetPath} has invalid attribute values.")
+    return
+
+  # Exactly one image element is required
+  images = root.findall('image')
+  if len(images) != 1:
+    print(f"Error: Tileset {assetPath} must have exactly one image element.")
+    return
+
+  image = images[0]
+  if 'source' not in image.attrib:
+    print(f"Error: Tileset {assetPath} is missing image source.")
+    return
+  
+  imageSource = image.attrib['source']
+
+  # Build 
+  relative = getAssetRelativePath(assetPath)
+  print(f"Relative path: {relative}")
\ No newline at end of file
diff --git a/tools/assetstool/tilesetparser.py b/tools/assetstool/tilesetparser.py
deleted file mode 100644
index 273e1e0..0000000
--- a/tools/assetstool/tilesetparser.py
+++ /dev/null
@@ -1,74 +0,0 @@
-from os import abort
-import os
-import xml.etree.ElementTree as ET
-from imageparser import parseImage
-from header import getOutputDir, getHeaderInclude
-
-def parseTileset(assetPath):
-  tree = ET.parse(assetPath)
-  root = tree.getroot()
-
-  # Should have tilewidth, tileheight, tilecount and columns attributes
-  if not all(attr in root.attrib for attr in ['tilewidth', 'tileheight', 'tilecount', 'columns']):
-    print(f"Error: Missing required attributes in tileset {assetPath}")
-    return []
-  
-  tileWidth = int(root.attrib['tilewidth'])
-  tileHeight = int(root.attrib['tileheight'])
-  tileCount = int(root.attrib['tilecount'])
-  columns = int(root.attrib['columns'])
-
-  # Find image elements
-  images = root.findall('image')
-  if not images:
-    abort(f"Error: No image elements found in tileset {assetPath}")
-
-  imageSources = []
-  for image in images:
-    imageSource = image.attrib.get('source')
-    if not imageSource:
-      abort(f"Error: Image element missing 'source' attribute in tileset {assetPath}")
-
-    # Get relative dir from this assetPath
-    assetDir = os.path.dirname(assetPath)
-    imageSource = os.path.normpath(os.path.join(assetDir, imageSource))
-    imageSources.extend(parseImage(imageSource))
-
-  # Now do our own header.
-  headers = []
-  print(f"Generating tileset header for {assetPath}")
-
-  name = os.path.splitext(os.path.basename(assetPath))[0]
-  name = name.upper().replace(' ', '_')
-
-  imageNameWithoutExtension = os.path.splitext(os.path.splitext(os.path.basename(imageSources[0]))[0])[0]
-  imageNameWithoutExtension = imageNameWithoutExtension.upper().replace(' ', '_')
-
-  dataOut = ""
-  dataOut += f"// Auto-generated tileset header for {os.path.basename(assetPath)}\n"
-  dataOut += f"#pragma once\n"
-  dataOut += f"#include \"asset/assettileset.h\"\n"
-  for imgHeader in imageSources:
-    dataOut += getHeaderInclude(imgHeader) + "\n"
-
-  dataOut += f"\n"
-  dataOut += f"static const assettileset_t TILESET_{name} = {{\n"
-  dataOut += f"  .tileCount = {tileCount},\n"
-  dataOut += f"  .columns = {columns},\n"
-  dataOut += f"  .tileHeight = {tileHeight},\n"
-  dataOut += f"  .tileWidth = {tileWidth},\n"
-  dataOut += f"  .image = &{imageNameWithoutExtension},\n"
-  dataOut += f"}};\n"
-
-  # Write out to output dir
-  outputDir = getOutputDir()
-  if not os.path.isdir(outputDir):
-    os.makedirs(outputDir)
-
-  outputFile = os.path.join(outputDir, f"tileset_{os.path.basename(assetPath)}.h")
-  with open(outputFile, 'w') as f:
-    f.write(dataOut)
-    
-  headers.append(outputFile)
-  headers.extend(imageSources)
-  return headers
\ No newline at end of file