Unable to Register inside of Container Image

[smoonlee]

I have created a clean Ubuntu Container Image with AzCLI Installed.
Created Service Principal and authenticated, I can see entries in the key vault from az key vault list --vault-name xyz

However, when I run az-azme register from inside the container I get the following error

DBUG: Loading Azure Credentials from environment...
DBUG: Creating Azure Key Vault secret client...
DBUG: Creating ACME provider instance...
Unhandled exception. Azure.Identity.AuthenticationFailedException: ManagedIdentityCredential authentication failed: Managed Identity response was not in the expected format. See the inner exception for details.
Status: 403 (connecting to 169.254.169.254:80: connecting to 169.254.169.254:80: dial tcp 169.254.169.254:80: connectex: A socket operation was attempted to an unreachable network.)

Headers:
Connection: close