diff --git a/doc/changes/changelog.md b/doc/changes/changelog.md
index 723e2535..3657449c 100644
--- a/doc/changes/changelog.md
+++ b/doc/changes/changelog.md
@@ -1,5 +1,6 @@
 # Changes
 
+* [3.2.1](changes_3.2.1.md)
 * [3.2.0](changes_3.2.0.md)
 * [3.1.0](changes_3.1.0.md)
 * [3.0.0](changes_3.0.0.md)
diff --git a/doc/changes/changes_3.2.1.md b/doc/changes/changes_3.2.1.md
new file mode 100644
index 00000000..2f8df489
--- /dev/null
+++ b/doc/changes/changes_3.2.1.md
@@ -0,0 +1,17 @@
+# AI-Lab 3.2.1 released 2025-?-?
+
+Code name: S3 Virtual schema support
+
+## Summary
+
+This release adds support of S3 Virtual schema extension which allows to access 
+the structured and semi-structured data from S3 buckets.
+
+## Features
+
+* #344: S3 Virtual Schema installation and configuration
+
+## Refactorings
+
+## Bug Fixes
+
diff --git a/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook/cloud/cloud_store_config.ipynb b/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook/cloud/cloud_store_config.ipynb
index 681dbeca..d23b5634 100644
--- a/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook/cloud/cloud_store_config.ipynb
+++ b/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook/cloud/cloud_store_config.ipynb
@@ -48,18 +48,13 @@
    "source": [
     "from exasol.nb_connector import github, bfs_utils, cloud_storage\n",
     "from exasol.nb_connector.connections import open_bucketfs_connection, open_pyexasol_connection\n",
-    "import exasol.bucketfs as bfs\n",
-    "import pathlib\n",
     "\n",
     "jar_local_path = github.retrieve_jar(github.Project.CLOUD_STORAGE_EXTENSION, use_local_cache=True)\n",
-    "local_name = jar_local_path.name\n",
-    "bfs_path = bfs.path.BucketPath(local_name, open_bucketfs_connection(ai_lab_config))\n",
-    "with jar_local_path.open(\"rb\") as file:\n",
-    "    bfs_path.write(file)\n",
-    "udf_path = bfs_path.as_udf_path()\n",
+    "bfs_bucket = open_bucketfs_connection(ai_lab_config)\n",
+    "bfs_path = bfs_utils.put_file(bfs_bucket, jar_local_path)\n",
     "\n",
     "with open_pyexasol_connection(ai_lab_config) as conn:\n",
-    "    cloud_storage.setup_scripts(conn, ai_lab_config.db_schema, udf_path)\n",
+    "    cloud_storage.setup_scripts(conn, ai_lab_config.db_schema, bfs_path.as_udf_path())\n",
     "    \n",
     "print(\"Could Storage Extension was initialized\")"
    ]
diff --git a/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook/cloud/s3_vs_setup.ipynb b/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook/cloud/s3_vs_setup.ipynb
new file mode 100644
index 00000000..cd9266a0
--- /dev/null
+++ b/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook/cloud/s3_vs_setup.ipynb
@@ -0,0 +1,110 @@
+{
+ "cells": [
+  {
+   "metadata": {},
+   "cell_type": "markdown",
+   "source": [
+    "# S3 Virtual Schema configuration\n",
+    "\n",
+    "[S3 Virtual Schema](https://github.com/exasol/s3-document-files-virtual-schema) is an Exasol extension that allows access\n",
+    "to structured and semi-structured documents residing in AWS S3 buckets. Once configured and set up, you can query JSON, \n",
+    "Parquet and CSV data directly from database, as if they were imported into the Exasol tables.\n",
+    "\n",
+    "In this notebook we setting up the extension into database and creating required scripts."
+   ],
+   "id": "b2ec73c7cc2ca7de"
+  },
+  {
+   "cell_type": "code",
+   "execution_count": null,
+   "id": "initial_id",
+   "metadata": {
+    "collapsed": true
+   },
+   "outputs": [],
+   "source": [
+    "from exasol.nb_connector import github, bfs_utils, cloud_storage\n",
+    "from exasol.nb_connector.connections import open_bucketfs_connection, open_pyexasol_connection\n",
+    "\n",
+    "# TODO: to be moved into notebook-connector's Project enum\n",
+    "import enum\n",
+    "\n",
+    "class MyProj(enum.Enum):\n",
+    "    S3_DOCUMENT_VS = \"s3-document-files-virtual-schema\" \n",
+    "\n",
+    "\n",
+    "jar_local_path = github.retrieve_jar(MyProj.S3_DOCUMENT_VS, use_local_cache=True)\n",
+    "bfs_bucket = open_bucketfs_connection(ai_lab_config)\n",
+    "bfs_path = bfs_utils.put_file(bfs_bucket, jar_local_path)"
+   ]
+  },
+  {
+   "metadata": {},
+   "cell_type": "code",
+   "outputs": [],
+   "execution_count": null,
+   "source": [
+    "SQLS = [\n",
+    "        \"OPEN SCHEMA {schema!i}\",\n",
+    "        \"\"\"\n",
+    "--/\n",
+    "CREATE OR REPLACE JAVA ADAPTER SCRIPT S3_FILES_ADAPTER AS\n",
+    "    %scriptclass com.exasol.adapter.RequestDispatcher;\n",
+    "    %jar {jar_path!r};\n",
+    "/\n",
+    "        \"\"\",\n",
+    "        \"\"\"\n",
+    "--/\n",
+    "CREATE OR REPLACE JAVA SET SCRIPT IMPORT_FROM_S3_DOCUMENT_FILES(\n",
+    "  DATA_LOADER VARCHAR(2000000),\n",
+    "  SCHEMA_MAPPING_REQUEST VARCHAR(2000000),\n",
+    "  CONNECTION_NAME VARCHAR(500))\n",
+    "  EMITS(...) AS\n",
+    "    %scriptclass com.exasol.adapter.document.UdfEntryPoint;\n",
+    "    %jar {jar_path!r};\n",
+    "/\n",
+    "        \"\"\",\n",
+    "]"
+   ],
+   "id": "69422ac03d02bb03"
+  },
+  {
+   "metadata": {},
+   "cell_type": "code",
+   "outputs": [],
+   "execution_count": null,
+   "source": [
+    "with open_pyexasol_connection(ai_lab_config) as conn:\n",
+    "    for sql in SQLS:\n",
+    "        conn.execute(sql, query_params={\n",
+    "            \"schema\": ai_lab_config.db_schema,\n",
+    "            \"jar_path\": bfs_path.as_udf_path(),\n",
+    "        })\n",
+    "\n",
+    "print(\"S3 Virtual Schema was initialized\")"
+   ],
+   "id": "75b31161b2ffbc72"
+  }
+ ],
+ "metadata": {
+  "kernelspec": {
+   "display_name": "Python 3",
+   "language": "python",
+   "name": "python3"
+  },
+  "language_info": {
+   "codemirror_mode": {
+    "name": "ipython",
+    "version": 2
+   },
+   "file_extension": ".py",
+   "mimetype": "text/x-python",
+   "name": "python",
+   "nbconvert_exporter": "python",
+   "pygments_lexer": "ipython2",
+   "version": "2.7.6"
+  }
+ },
+ "nbformat": 4,
+ "nbformat_minor": 5
+}
diff --git a/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook_requirements.txt b/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook_requirements.txt
index e9f25ec9..0218d184 100644
--- a/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook_requirements.txt
+++ b/exasol/ds/sandbox/runtime/ansible/roles/jupyter/files/notebook_requirements.txt
@@ -2,7 +2,11 @@ scikit-learn==1.6.1 # required for notebook sklearn
 matplotlib==3.10.0 # required for notebook sklearn
 jupysql==0.10.17 # required for multiple notebooks
 stopwatch.py>=2.0.1 # also required by ITDE
-exasol-notebook-connector==0.4.0
+exasol-notebook-connector==0.4.2
 pickleshare==0.7.5 # See https://github.com/exasol/ai-lab/issues/291 for details.
 ipyfilechooser==0.6.0 # required for SLC notebooks
 ipywidgets==8.1.5 # enable interactive Javascript widgets in the notebooks
+
+# Temporary pin for script-language-container-tool.
+# Could be removed on notebook-container dependency fix: https://github.com/exasol/notebook-connector/issues/159
+exasol-script-languages-container-tool<1.0.0
\ No newline at end of file
diff --git a/exasol/ds/sandbox/runtime/ansible/roles/rsync/defaults/main.yml b/exasol/ds/sandbox/runtime/ansible/roles/rsync/defaults/main.yml
index d9ce8433..eda233c4 100644
--- a/exasol/ds/sandbox/runtime/ansible/roles/rsync/defaults/main.yml
+++ b/exasol/ds/sandbox/runtime/ansible/roles/rsync/defaults/main.yml
@@ -1,4 +1,4 @@
 ---
 
 apt_dependencies:
-  - rsync=3.2.7-0ubuntu0.22.04.3
+  - rsync=3.2.7-0ubuntu0.22.04.4
diff --git a/pyproject.toml b/pyproject.toml
index 38114d66..b3fc9d8b 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -1,6 +1,6 @@
 [tool.poetry]
 name = "exasol-ai-lab"
-version = "3.2.0"
+version = "3.2.1"
 description = "Provide AI-Lab editions."
 packages = [ {include = "exasol"}, ]
 license = "MIT"