Finally I managed to build console image following strictly
instructions from here http://elinux.org/Beag leboardAndOpenEmbeddedGit
It is going through booting almost all the way, but freezes on
'configuring ppp'
Can I assume that it is a problem on my side or is there a problem
with a stable image?
How to fix it?
That's a problem in .dev branch that I fixed with commit
ad4e2d75a9d07bce3ff23fffd51f34b39ef97f68
Just pull the changes from git, and this should fix your issue.