diff --git a/mercurial/scmutil.py b/mercurial/scmutil.py
--- a/mercurial/scmutil.py
+++ b/mercurial/scmutil.py
@@ -702,8 +702,13 @@
         if bmarkchanges:
             bmarks.applychanges(repo, tr, bmarkchanges)
 
-        # Obsolete or strip nodes
-        if obsolete.isenabled(repo, obsolete.createmarkersopt):
+        # We either create obsolescence markers or strip.
+        # If we create markers and we're in local only mode, we create a backup
+        # bundle.
+        obsopts = obsolete.getoptions(repo)
+
+        if (obsopts[obsolete.createmarkersopt] or
+            obsopts[obsolete.localonlymodeopt]):
             # If a node is already obsoleted, and we want to obsolete it
             # without a successor, skip that obssolete request since it's
             # unnecessary. That's the "if s or not isobs(n)" check below.
@@ -717,8 +722,36 @@
                     for n, s in sorted(replacements.items(), key=sortfunc)
                     if s or not isobs(n)]
             if rels:
+                # For now, explicitly limit which operations opt in to this
+                # behavior. Also, we need to run this code before markers are
+                # created, otherwise visibility changes would impact operation.
+                if operation == 'amend' and obsopts[obsolete.localonlymodeopt]:
+                    from . import repair # avoid import cycle
+
+                    # We should not be creating unstable changesets in
+                    # local only mode. Verify that.
+                    oldrevs = set(torev(n) for n in replacements)
+                    tobundle = set(repo.revs('%ld::', oldrevs))
+
+                    if len(tobundle) > len(oldrevs):
+                        raise error.Abort(_('cannot create unstable changesets '
+                                            'in local-only obsolescence mode'))
+
+                    roots = set(ctx.node()
+                                for ctx in repo.set('roots(%ld)', oldrevs))
+                    heads = set(ctx.node()
+                                for ctx in repo.set('heads(%ld)', oldrevs))
+
+                    backupfile = repair.backupbundle(
+                        repo, roots, heads, repo[min(roots)].node(), operation)
+                    repo.ui.status(_('saved backup bundle to %s\n') %
+                                   repo.vfs.join(backupfile))
+                    repo.ui.log('backupbundle', 'saved backup bundle to %s\n',
+                                repo.vfs.join(backupfile))
+
                 obsolete.createmarkers(repo, rels, operation=operation,
                                        metadata=metadata)
+
         else:
             from . import repair # avoid import cycle
             tostrip = list(replacements)
diff --git a/tests/test-amend.t b/tests/test-amend.t
--- a/tests/test-amend.t
+++ b/tests/test-amend.t
@@ -1,4 +1,4 @@
-#testcases obsstore-off obsstore-on
+#testcases obsstore-off obsstore-on evolution-on
 
   $ cat << EOF >> $HGRCPATH
   > [extensions]
@@ -8,10 +8,17 @@
   > git=1
   > EOF
 
-#if obsstore-on
+#if obsstore-off
+  $ cat << EOF >> $HGRCPATH
+  > [ui]
+  > localobsolescence = false
+  > EOF
+#endif
+
+#if evolution-on
   $ cat << EOF >> $HGRCPATH
   > [experimental]
-  > evolution.createmarkers=True
+  > evolution.createmarkers = true
   > EOF
 #endif
 
@@ -49,6 +56,8 @@
      +A
      \ No newline at end of file
   
+  $ hg debugobsolete
+
 #else
   $ hg log -p -G --hidden -T '{rev} {node|short} {desc}\n'
   @  2 be169c7e8dbe B
@@ -77,6 +86,95 @@
      +A
      \ No newline at end of file
   
+
+  $ hg debugobsolete
+  112478962961147124edd43549aedd1a335e44bf be169c7e8dbe21cd10b3d79691cbe7f241e3c21c 0 (Thu Jan 01 00:00:00 1970 +0000) {'ef1': '8', 'operation': 'amend', 'user': 'test'}
+
+#endif
+
+Unbundling from backup bundle restores visibility
+
+#if obsstore-on
+
+  $ cd ..
+  $ cp -r repo1 repo1-unbundle-backup
+  $ cd repo1-unbundle-backup
+
+  $ hg unbundle .hg/strip-backup/112478962961-7e959a55-amend.hg
+  adding changesets
+  adding manifests
+  adding file changes
+  added 0 changesets with 0 changes to 1 files
+  (run 'hg update' to get a working copy)
+
+TODO obsmarker should be deleted, both versions should be visible
+
+  $ hg debugobsolete
+  112478962961147124edd43549aedd1a335e44bf be169c7e8dbe21cd10b3d79691cbe7f241e3c21c 0 (Thu Jan 01 00:00:00 1970 +0000) {'ef1': '8', 'operation': 'amend', 'user': 'test'}
+
+  $ hg log -G
+  @  changeset:   2:be169c7e8dbe
+  |  tag:         tip
+  |  parent:      0:426bada5c675
+  |  user:        test
+  |  date:        Thu Jan 01 00:00:00 1970 +0000
+  |  summary:     B
+  |
+  | x  changeset:   1:112478962961
+  |/   tag:         B
+  |    user:        test
+  |    date:        Thu Jan 01 00:00:00 1970 +0000
+  |    obsolete:    rewritten using amend as 2:be169c7e8dbe
+  |    summary:     B
+  |
+  o  changeset:   0:426bada5c675
+     tag:         A
+     user:        test
+     date:        Thu Jan 01 00:00:00 1970 +0000
+     summary:     A
+  
+
+  $ cd ..
+
+Pulling from a backup bundle restores visibility
+
+  $ cp -r repo1 repo1-pull-backup
+  $ cd repo1-pull-backup
+
+  $ hg pull .hg/strip-backup/112478962961-7e959a55-amend.hg
+  pulling from .hg/strip-backup/112478962961-7e959a55-amend.hg
+  searching for changes
+  no changes found
+
+TODO obsmarker should be deleted, both versions should be visible
+
+  $ hg debugobsolete
+  112478962961147124edd43549aedd1a335e44bf be169c7e8dbe21cd10b3d79691cbe7f241e3c21c 0 (Thu Jan 01 00:00:00 1970 +0000) {'ef1': '8', 'operation': 'amend', 'user': 'test'}
+
+  $ hg log -G
+  @  changeset:   2:be169c7e8dbe
+  |  tag:         tip
+  |  parent:      0:426bada5c675
+  |  user:        test
+  |  date:        Thu Jan 01 00:00:00 1970 +0000
+  |  summary:     B
+  |
+  | x  changeset:   1:112478962961
+  |/   tag:         B
+  |    user:        test
+  |    date:        Thu Jan 01 00:00:00 1970 +0000
+  |    obsolete:    rewritten using amend as 2:be169c7e8dbe
+  |    summary:     B
+  |
+  o  changeset:   0:426bada5c675
+     tag:         A
+     user:        test
+     date:        Thu Jan 01 00:00:00 1970 +0000
+     summary:     A
+  
+
+  $ cd ../repo1
+
 #endif
 
 Nothing changed
@@ -174,7 +272,7 @@
   abort: cannot amend changeset with children
   [255]
 
-#if obsstore-on
+#if evolution-on
 
 With allowunstable, amend could work in the middle of a stack