diff --git a/Pipfile b/Pipfile
index db952be7..6b4924be 100644
--- a/Pipfile
+++ b/Pipfile
@@ -8,7 +8,7 @@ twine = "*"
 sphinx-click = "*"
 pytest-xdist = "*"
 click = "*"
-pytest-pypy = {path = "./tests/pytest-pypi", editable = true}
+pytest-pypi = {path = "./tests/pytest-pypi", editable = true}
 pytest-tap = "*"
 flaky = "*"
 stdeb = {version="*", markers="sys_platform == 'linux'"}
diff --git a/Pipfile.lock b/Pipfile.lock
index 46115fdc..54f07fe3 100644
--- a/Pipfile.lock
+++ b/Pipfile.lock
@@ -53,10 +53,10 @@
         },
         "atomicwrites": {
             "hashes": [
-                "sha256:0312ad34fcad8fac3704d441f7b317e50af620823353ec657a53e981f92920c0",
-                "sha256:ec9ae8adaae229e4f8446952d204a3e4b5fdd2d099f9be3aaf556120135fb3ee"
+                "sha256:03472c30eb2c5d1ba9227e4c2ca66ab8287fbfbbda3888aa93dc2e28fc6811b4",
+                "sha256:75a9445bac02d8d058d5e1fe689654ba5a6556a1dfd8ce6ec55a0ed79866cfa6"
             ],
-            "version": "==1.2.1"
+            "version": "==1.3.0"
         },
         "attrs": {
             "hashes": [
@@ -74,11 +74,11 @@
         },
         "beautifulsoup4": {
             "hashes": [
-                "sha256:194ec62a25438adcb3fdb06378b26559eda1ea8a747367d34c33cef9c7f48d57",
-                "sha256:90f8e61121d6ae58362ce3bed8cd997efb00c914eae0ff3d363c32f9a9822d10",
-                "sha256:f0abd31228055d698bb392a826528ea08ebb9959e6bea17c606fd9c9009db938"
+                "sha256:034740f6cb549b4e932ae1ab975581e6103ac8f942200a0e9759065984391858",
+                "sha256:945065979fb8529dd2f37dbb58f00b661bdbcbebf954f93b32fdf5263ef35348",
+                "sha256:ba6d5c59906a85ac23dadfe5c88deaf3e179ef565f4898671253e50a78680718"
             ],
-            "version": "==4.6.3"
+            "version": "==4.7.1"
         },
         "black": {
             "hashes": [
@@ -91,10 +91,10 @@
         },
         "bleach": {
             "hashes": [
-                "sha256:48d39675b80a75f6d1c3bdbffec791cf0bbbab665cf01e20da701c77de278718",
-                "sha256:73d26f018af5d5adcdabf5c1c974add4361a9c76af215fe32fdec8a6fc5fb9b9"
+                "sha256:213336e49e102af26d9cde77dd2d0397afabc5a6bf2fed985dc35b5d1e285a16",
+                "sha256:3fdf7f77adcf649c9911387df51254b813185e32b2c6619f690b593a617e19fa"
             ],
-            "version": "==3.0.2"
+            "version": "==3.1.0"
         },
         "bs4": {
             "hashes": [
@@ -111,10 +111,10 @@
         },
         "certifi": {
             "hashes": [
-                "sha256:339dc09518b07e2fa7eda5450740925974815557727d6bd35d319c1524a04a4c",
-                "sha256:6d58c986d22b038c8c0df30d639f23a3e6d172a05c3583e766f4c0b785c0986a"
+                "sha256:47f9c83ef4c0c621eaef743f133f09fa8a74a9b75f037e8624f83bd1b6626cb7",
+                "sha256:993f830721089fef441cdfeb4b2c8c9df86f0c63239f06bd025a76a7daddb033"
             ],
-            "version": "==2018.10.15"
+            "version": "==2018.11.29"
         },
         "cffi": {
             "hashes": [
@@ -217,9 +217,9 @@
         },
         "cursor": {
             "hashes": [
-                "sha256:8ee9fe5b925e1001f6ae6c017e93682583d2b4d1ef7130a26cfcdf1651c0032c"
+                "sha256:7e728934f555a84a1c8b0850b66efcb580d092acc927b7d15dd43eb27dd4c4c5"
             ],
-            "version": "==1.2.0"
+            "version": "==1.3.1"
         },
         "distlib": {
             "hashes": [
@@ -235,6 +235,13 @@
             ],
             "version": "==0.14"
         },
+        "entrypoints": {
+            "hashes": [
+                "sha256:589f874b313739ad35be6e0cd7efde2a4e9b6fea91edcc34e58ecbb8dbe56d19",
+                "sha256:c70dd71abe5a8c85e55e12c19bd91ccfeec11a6e99044204511f9ed547d48451"
+            ],
+            "version": "==0.3"
+        },
         "enum34": {
             "hashes": [
                 "sha256:2d81cbbe0e73112bdfe6ef8576f2238f2ba27dd0d55752a776c41d38b7da2850",
@@ -242,7 +249,7 @@
                 "sha256:6bd0f6ad48ec2aa117d3d141940d484deccda84d4fcd884f5c3d93c23ecd8c79",
                 "sha256:8ad8c4783bf61ded74527bffb48ed9b54166685e4230386a9ed9b1279e2df5b1"
             ],
-            "markers": "python_version < '3.4'",
+            "markers": "python_version < '3'",
             "version": "==1.1.6"
         },
         "execnet": {
@@ -306,10 +313,10 @@
         },
         "idna": {
             "hashes": [
-                "sha256:156a6814fb5ac1fc6850fb002e0852d56c0c8d2531923a51032d1b70760e186e",
-                "sha256:684a38a6f903c1d71d6d5fac066b58d7768af4de2b832e426ec79c30daa94a16"
+                "sha256:c357b3f628cf53ae2c4c05627ecc484553142ca23264e593d327bcde5e9c3407",
+                "sha256:ea8b7f6188e6fa117537c3df7da9fc686d485087abf6ac197f9c46432f7e4a3c"
             ],
-            "version": "==2.7"
+            "version": "==2.8"
         },
         "imagesize": {
             "hashes": [
@@ -415,25 +422,25 @@
         },
         "more-itertools": {
             "hashes": [
-                "sha256:c187a73da93e7a8acc0001572aebc7e3c69daf7bf6881a2cea10650bd4420092",
-                "sha256:c476b5d3a34e12d40130bc2f935028b5f636df8f372dc2c1c01dc19681b2039e",
-                "sha256:fcbfeaea0be121980e15bc97b3817b5202ca73d0eae185b4550cbfce2a3ebb3d"
+                "sha256:0125e8f60e9e031347105eb1682cef932f5e97d7b9a1a28d9bf00c22a5daef40",
+                "sha256:590044e3942351a1bdb1de960b739ff4ce277960f2425ad4509446dbace8d9d1"
             ],
-            "version": "==4.3.0"
+            "markers": "python_version > '2.7'",
+            "version": "==6.0.0"
         },
         "packaging": {
             "hashes": [
-                "sha256:0886227f54515e592aaa2e5a553332c73962917f2831f1b0f9b9f4380a4b9807",
-                "sha256:f95a1e147590f204328170981833854229bb2912ac3d5f89e2a8ccd2834800c9"
+                "sha256:0c98a5d0be38ed775798ece1b9727178c4469d9c3b4ada66e8e6b7849f8732af",
+                "sha256:9e1cbf8c12b1f1ce0bb5344b8d7ecf66a6f8a6e91bcb0c84593ed6d3ab5c4ab3"
             ],
-            "version": "==18.0"
+            "version": "==19.0"
         },
         "parso": {
             "hashes": [
-                "sha256:35704a43a3c113cce4de228ddb39aab374b8004f4f2407d070b6a2ca784ce8a2",
-                "sha256:895c63e93b94ac1e1690f5fdd40b65f07c8171e3e53cbd7793b5b96c0e0a7f24"
+                "sha256:4580328ae3f548b358f4901e38c0578229186835f0fa0846e47369796dd5bcc9",
+                "sha256:68406ebd7eafe17f8e40e15a84b56848eccbf27d7c1feb89e93d8fca395706db"
             ],
-            "version": "==0.3.1"
+            "version": "==0.3.4"
         },
         "parver": {
             "hashes": [
@@ -450,17 +457,17 @@
         },
         "pbr": {
             "hashes": [
-                "sha256:f59d71442f9ece3dffc17bc36575768e1ee9967756e6b6535f0ee1f0054c3d68",
-                "sha256:f6d5b23f226a2ba58e14e49aa3b1bfaf814d0199144b95d78458212444de1387"
+                "sha256:a7953f66e1f82e4b061f43096a4bcc058f7d3d41de9b94ac871770e8bdd831a2",
+                "sha256:d717573351cfe09f49df61906cd272abaa759b3e91744396b804965ff7bff38b"
             ],
-            "version": "==5.1.1"
+            "version": "==5.1.2"
         },
         "pep517": {
             "hashes": [
-                "sha256:cc663a438fdfe2e88d8d3c5ef2203ac858de34e31b6609b1fc505d611490a926",
-                "sha256:f79bb08fb064dfc5b141204bfeb56a4141a6d504677fab4723036a464fc25cc1"
+                "sha256:43a7aa3902efd305a605c1028e4045968cd012831233ecab633a31d3ba4860a5",
+                "sha256:cb5ca55450b64e80744cd5c32f7d5b8928004042dfea50fdc3f96ad7f27cba96"
             ],
-            "version": "==0.3"
+            "version": "==0.5.0"
         },
         "pip-shims": {
             "hashes": [
@@ -475,10 +482,10 @@
         },
         "pkginfo": {
             "hashes": [
-                "sha256:5878d542a4b3f237e359926384f1dde4e099c9f5525d236b1840cf704fa8d474",
-                "sha256:a39076cb3eb34c333a0dd390b568e9e1e881c7bf2cc0aee12120636816f55aee"
+                "sha256:7424f2c8511c186cd5424bbf31045b77435b37a8d604990b79d4e70d741148bb",
+                "sha256:a6d9e40ca61ad3ebd0b72fbadd4fba16e4c0e4df0428c041e01e06eb6ee71f32"
             ],
-            "version": "==1.4.2"
+            "version": "==1.5.0.1"
         },
         "plette": {
             "extras": [
@@ -492,10 +499,10 @@
         },
         "pluggy": {
             "hashes": [
-                "sha256:447ba94990e8014ee25ec853339faf7b0fc8050cdc3289d4d71f7f410fb90095",
-                "sha256:bde19360a8ec4dfd8a20dcb811780a30998101f078fc7ded6162f0076f50508f"
+                "sha256:8ddc32f03971bfdf900a81961a48ccf2fb677cf7715108f85295c67405798616",
+                "sha256:980710797ff6a041e9a73a5787804f848996ecaa6f8a1b1e08224a5894f2074a"
             ],
-            "version": "==0.8.0"
+            "version": "==0.8.1"
         },
         "py": {
             "hashes": [
@@ -506,10 +513,10 @@
         },
         "pycodestyle": {
             "hashes": [
-                "sha256:cbc619d09254895b0d12c2c691e237b2e91e9b2ecf5e84c26b35400f93dcfb83",
-                "sha256:cbfca99bd594a10f674d0cd97a3d802a1fdef635d4361e1a2658de47ed261e3a"
+                "sha256:95a2219d12372f05704562a14ec30bc76b05a5b297b21a5dfe3f6fac3491ae56",
+                "sha256:e40a936c9a450ad81df37f549d676d127b1b66000a6c500caa2b085bc0ca976c"
             ],
-            "version": "==2.4.0"
+            "version": "==2.5.0"
         },
         "pycparser": {
             "hashes": [
@@ -519,24 +526,24 @@
         },
         "pyflakes": {
             "hashes": [
-                "sha256:9a7662ec724d0120012f6e29d6248ae3727d821bba522a0e6b356eff19126a49",
-                "sha256:f661252913bc1dbe7fcfcbf0af0db3f42ab65aabd1a6ca68fe5d466bace94dae"
+                "sha256:5e8c00e30c464c99e0b501dc160b13a14af7f27d4dffb529c556e30a159e231d",
+                "sha256:f277f9ca3e55de669fba45b7393a1449009cff5a37d1af10ebb76c52765269cd"
             ],
-            "version": "==2.0.0"
+            "version": "==2.1.0"
         },
         "pygments": {
             "hashes": [
-                "sha256:6301ecb0997a52d2d31385e62d0a4a4cf18d2f2da7054a5ddad5c366cd39cee7",
-                "sha256:82666aac15622bd7bb685a4ee7f6625dd716da3ef7473620c192c0168aae64fc"
+                "sha256:5ffada19f6203563680669ee7f53b64dabbeb100eb51b61996085e99c03b284a",
+                "sha256:e8218dd399a61674745138520d0d4cf2621d7e032439341bc3f647bff125818d"
             ],
-            "version": "==2.3.0"
+            "version": "==2.3.1"
         },
         "pyparsing": {
             "hashes": [
-                "sha256:40856e74d4987de5d01761a22d1621ae1c7f8774585acae358aa5c5936c6c90b",
-                "sha256:f353aab21fd474459d97b709e527b5571314ee5f067441dc9f88e33eecd96592"
+                "sha256:66c9268862641abcac4a96ba74506e594c884e3f57690a696d21ad8210ed667a",
+                "sha256:f6c5ef0d7480ad048c054c37632c67fca55299990fff127850181659eea33fc3"
             ],
-            "version": "==2.3.0"
+            "version": "==2.3.1"
         },
         "pytest": {
             "hashes": [
@@ -548,14 +555,15 @@
         },
         "pytest-forked": {
             "hashes": [
-                "sha256:e4500cd0509ec4a26535f7d4112a8cc0f17d3a41c29ffd4eab479d2a55b30805",
-                "sha256:f275cb48a73fc61a6710726348e1da6d68a978f0ec0c54ece5a5fae5977e5a08"
+                "sha256:5fe33fbd07d7b1302c95310803a5e5726a4ff7f19d5a542b7ce57c76fed8135f",
+                "sha256:d352aaced2ebd54d42a65825722cb433004b4446ab5d2044851d9cc7a00c9e38"
             ],
-            "version": "==0.2"
+            "version": "==1.0.2"
         },
-        "pytest-pypy": {
+        "pytest-pypi": {
             "editable": true,
-            "path": "./tests/pytest-pypi"
+            "path": "./tests/pytest-pypi",
+            "version": "==0.1.1"
         },
         "pytest-tap": {
             "hashes": [
@@ -596,24 +604,24 @@
         },
         "requests": {
             "hashes": [
-                "sha256:65b3a120e4329e33c9889db89c80976c5272f56ea92d3e74da8a463992e3ff54",
-                "sha256:ea881206e59f41dbd0bd445437d792e43906703fff75ca8ff43ccdb11f33f263"
+                "sha256:502a824f31acdacb3a35b6690b5fbf0bc41d63a24a45c4004352b0242707598e",
+                "sha256:7bf2a778576d825600030a110f3c0e3e8edc51dfaafe1c146e39a2027784957b"
             ],
-            "version": "==2.20.1"
+            "version": "==2.21.0"
         },
         "requests-toolbelt": {
             "hashes": [
-                "sha256:42c9c170abc2cacb78b8ab23ac957945c7716249206f90874651971a4acff237",
-                "sha256:f6a531936c6fa4c6cfce1b9c10d5c4f498d16528d2a54a22ca00011205a187b5"
+                "sha256:380606e1d10dc85c3bd47bf5a6095f815ec007be7a8b69c878507068df059e6f",
+                "sha256:968089d4584ad4ad7c171454f0a5c6dac23971e9472521ea3b6d49d610aa6fc0"
             ],
-            "version": "==0.8.0"
+            "version": "==0.9.1"
         },
         "requirementslib": {
             "hashes": [
-                "sha256:c2c00c7bd3bd4984c97d10cd4d143efbe33b5ed9e55961bea30ca7a9a4927289",
-                "sha256:dc6b692e8dee03d6e90c29db1e337b0bf8152cce84a57f0fb4765e596afde4e0"
+                "sha256:c26feee79853dedddab550cf79fb2fa83b4bc1a16eab58f2c870e8314caa6cc5",
+                "sha256:d302b780afbd1d60f49d368b535929d8ff4b6d972797f3777c9560d48abdded7"
             ],
-            "version": "==1.3.3"
+            "version": "==1.4.0"
         },
         "resolvelib": {
             "hashes": [
@@ -631,10 +639,10 @@
         },
         "six": {
             "hashes": [
-                "sha256:70e8a77beed4562e7f14fe23a786b54f6296e34344c23bc42f07b15018ff98e9",
-                "sha256:832dc0e10feb1aa2c68dcc57dbb658f1c7e65b9b61af69048abc87a2db00a0eb"
+                "sha256:3350809f0555b11f552448330d0b52d5f24c91a322ea4a15ef22629740f3761c",
+                "sha256:d16a0141ec1a18405cd4ce8b4613101da75da0e9a7aec5bdd4fa804d0e0eba73"
             ],
-            "version": "==1.11.0"
+            "version": "==1.12.0"
         },
         "snowballstemmer": {
             "hashes": [
@@ -643,6 +651,13 @@
             ],
             "version": "==1.2.1"
         },
+        "soupsieve": {
+            "hashes": [
+                "sha256:afa56bf14907bb09403e5d15fbed6275caa4174d36b975226e3b67a3bb6e2c4b",
+                "sha256:eaed742b48b1f3e2d45ba6f79401b2ed5dc33b2123dfe216adb90d4bfa0ade26"
+            ],
+            "version": "==1.8"
+        },
         "sphinx": {
             "hashes": [
                 "sha256:11f271e7a9398385ed730e90f0bb41dc3815294bdcd395b46ed2d033bc2e7d87",
@@ -684,7 +699,8 @@
         "toml": {
             "hashes": [
                 "sha256:229f81c57791a41d65e399fc06bf0848bab550a9dfd5ed66df18ce5f05e73d5c",
-                "sha256:235682dd292d5899d361a811df37e04a8828a5b1da3115886b73cf81ebc9100e"
+                "sha256:235682dd292d5899d361a811df37e04a8828a5b1da3115886b73cf81ebc9100e",
+                "sha256:f1db651f9657708513243e61e6cc67d101a39bad662eaa9b5546f789338e07a3"
             ],
             "version": "==0.10.0"
         },
@@ -702,10 +718,10 @@
         },
         "tqdm": {
             "hashes": [
-                "sha256:3c4d4a5a41ef162dd61f1edb86b0e1c7859054ab656b2e7c7b77e7fbf6d9f392",
-                "sha256:5b4d5549984503050883bc126280b386f5f4ca87e6c023c5d015655ad75bdebb"
+                "sha256:d385c95361699e5cf7622485d9b9eae2d4864b21cd5a2374a9c381ffed701021",
+                "sha256:e22977e3ebe961f72362f6ddfb9197cc531c9737aaf5f607ef09740c849ecd05"
             ],
-            "version": "==4.28.1"
+            "version": "==4.31.1"
         },
         "twine": {
             "hashes": [
@@ -733,26 +749,28 @@
         },
         "virtualenv": {
             "hashes": [
-                "sha256:686176c23a538ecc56d27ed9d5217abd34644823d6391cbeb232f42bf722baad",
-                "sha256:f899fafcd92e1150f40c8215328be38ff24b519cd95357fa6e78e006c7638208"
+                "sha256:8b9abfc51c38b70f61634bf265e5beacf6fae11fc25d355d1871f49b8e45f0db",
+                "sha256:cceab52aa7d4df1e1871a70236eb2b89fcfe29b6b43510d9738689787c513261"
             ],
-            "version": "==16.1.0"
+            "version": "==16.4.0"
         },
         "virtualenv-clone": {
             "hashes": [
-                "sha256:afce268508aa5596c90dda234abe345deebc401a57d287bcbd76baa140a1aa58"
+                "sha256:217bd3f0880c9f85672c0bcc9ad9e0354ab7dfa89c2f117e63aa878b4279f5bf",
+                "sha256:316c8a05432a7adb5e461709759aca18c51433ffc2c33e2e80c9e51c452d339f",
+                "sha256:f2a07ed255f3abaceef8c8442512d8cdb2ba9f867e212d8a51680c7790a85033"
             ],
-            "version": "==0.4.0"
+            "version": "==0.5.1"
         },
         "vistir": {
             "extras": [
                 "spinner"
             ],
             "hashes": [
-                "sha256:3a1020fb7be000b268af96641ced9ead844b1f75840c41e20e473647688fc630",
-                "sha256:6d2005ad670f77bd9c9b5415c4e2a4a20dce5b0cf0e0d11598eb463b2e0ebe44"
+                "sha256:510408ec63a4b423967fd630bf0885c8d6a1d5d126f8bb1be6aba86a0da5e815",
+                "sha256:fc5cca7a14e92feaa6f85dd91da74d834904280a96a21190aecb4cd1d1048e0e"
             ],
-            "version": "==0.2.5"
+            "version": "==0.3.0"
         },
         "webencodings": {
             "hashes": [
@@ -770,17 +788,17 @@
         },
         "wheel": {
             "hashes": [
-                "sha256:029703bf514e16c8271c3821806a1c171220cc5bdd325cbf4e7da1e056a01db6",
-                "sha256:1e53cdb3f808d5ccd0df57f964263752aa74ea7359526d3da6c02114ec1e1d44"
+                "sha256:12363e6df5678ecf9daf8429f06f97e7106e701405898f24318ce7f0b79c611a",
+                "sha256:b79ffea026bc0dbd940868347ae9eee36789b6496b6623bd2dec7c7c540a8f99"
             ],
-            "version": "==0.32.3"
+            "version": "==0.33.0"
         },
         "yaspin": {
             "hashes": [
-                "sha256:36fdccc5e0637b5baa8892fe2c3d927782df7d504e9020f40eb2c1502518aa5a",
-                "sha256:8e52bf8079a48e2a53f3dfeec9e04addb900c101d1591c85df69cf677d3237e7"
+                "sha256:441f8a6761e347652d04614899fd0a9cfda7439e2d5682e664bd31230c656176",
+                "sha256:d3ebcf8162e0ef8bb5484b8751d5b6d2fbf0720112c81f64614c308576a03b1d"
             ],
-            "version": "==0.14.0"
+            "version": "==0.14.1"
         }
     }
 }
diff --git a/news/3148.feature.rst b/news/3148.feature.rst
new file mode 100644
index 00000000..e33434db
--- /dev/null
+++ b/news/3148.feature.rst
@@ -0,0 +1 @@
+Added support for resolution of direct-url dependencies in ``setup.py`` files to respect ``PEP-508`` style URL dependencies.
diff --git a/pipenv/core.py b/pipenv/core.py
index 8fae27c8..08179fd9 100644
--- a/pipenv/core.py
+++ b/pipenv/core.py
@@ -1,5 +1,5 @@
 # -*- coding=utf-8 -*-
-
+from __future__ import absolute_import, print_function
 import json as simplejson
 import logging
 import os
@@ -20,7 +20,7 @@ import dotenv
 import pipfile
 
 from . import environments, exceptions, pep508checker, progress
-from ._compat import fix_utf8
+from ._compat import fix_utf8, decode_for_output
 from .cmdparse import Script
 from .environments import (
     PIPENV_CACHE_DIR, PIPENV_COLORBLIND, PIPENV_DEFAULT_PYTHON_VERSION,
@@ -675,7 +675,7 @@ def batch_install(deps_list, procs, failed_deps_queue,
                   requirements_dir, no_deps=False, ignore_hashes=False,
                   allow_global=False, blocking=False, pypi_mirror=None,
                   nprocs=PIPENV_MAX_SUBPROCESS, retry=True):
-
+    from .vendor.requirementslib.models.utils import strip_extras_markers_from_requirement
     failed = (not retry)
     if not failed:
         label = INSTALL_LABEL if os.name != "nt" else ""
@@ -690,6 +690,10 @@ def batch_install(deps_list, procs, failed_deps_queue,
     trusted_hosts = []
     # Install these because
     for dep in deps_list_bar:
+        if dep.req.req:
+            dep.req.req = strip_extras_markers_from_requirement(dep.req.req)
+        if dep.markers:
+            dep.markers = str(strip_extras_markers_from_requirement(dep.get_markers()))
         index = None
         if dep.index:
             index = project.find_source(dep.index)
@@ -698,10 +702,18 @@ def batch_install(deps_list, procs, failed_deps_queue,
                 trusted_hosts.append(urllib3_util.parse_url(index.get("url")).host)
         # Install the module.
         is_artifact = False
+        if no_deps:
+            link = getattr(dep.req, "link", None)
+            is_wheel = False
+            if link:
+                is_wheel = link.is_wheel
         if dep.is_file_or_url and (dep.is_direct_url or any(
             dep.req.uri.endswith(ext) for ext in ["zip", "tar.gz"]
         )):
             is_artifact = True
+        elif dep.is_vcs:
+            is_artifact = True
+        needs_deps = not no_deps if no_deps is True else is_artifact
 
         extra_indexes = []
         if not index and indexes:
@@ -714,24 +726,24 @@ def batch_install(deps_list, procs, failed_deps_queue,
                 os.environ["PIP_USER"] = vistir.compat.fs_str("0")
                 if "PYTHONHOME" in os.environ:
                     del os.environ["PYTHONHOME"]
-            if no_deps:
+            if not needs_deps:
                 link = getattr(dep.req, "link", None)
                 is_wheel = False
                 if link:
                     is_wheel = link.is_wheel
-                is_non_editable_vcs = (dep.is_vcs and not dep.editable)
-                no_deps = not (dep.is_file_or_url and not (is_wheel or dep.editable))
+                needs_deps = dep.is_file_or_url and not (is_wheel or dep.editable)
             c = pip_install(
                 dep,
                 ignore_hashes=any([ignore_hashes, dep.editable, dep.is_vcs]),
                 allow_global=allow_global,
-                no_deps=no_deps,
+                no_deps=not needs_deps,
                 block=any([dep.editable, dep.is_vcs, blocking]),
                 index=index,
                 requirements_dir=requirements_dir,
                 pypi_mirror=pypi_mirror,
                 trusted_hosts=trusted_hosts,
-                extra_indexes=extra_indexes
+                extra_indexes=extra_indexes,
+                use_pep517=not retry,
             )
             if dep.is_vcs or dep.editable:
                 c.block()
@@ -814,6 +826,7 @@ def do_install_dependencies(
     else:
         install_kwargs["nprocs"] = 1
 
+    # with project.environment.activated():
     batch_install(
         deps_list, procs, failed_deps_queue, requirements_dir, **install_kwargs
     )
@@ -1016,9 +1029,12 @@ def do_lock(
     dev_packages = overwrite_dev(project.packages, dev_packages)
     # Resolve dev-package dependencies, with pip-tools.
     for is_dev in [True, False]:
-        pipfile_section = "dev_packages" if is_dev else "packages"
+        pipfile_section = "dev-packages" if is_dev else "packages"
         lockfile_section = "develop" if is_dev else "default"
-        packages = getattr(project, pipfile_section)
+        if project.pipfile_exists:
+            packages = project.parsed_pipfile.get(pipfile_section, {})
+        else:
+            packages = getattr(project, pipfile_section.replace("-", "_"))
 
         if write:
             # Alert the user of progress.
@@ -1264,12 +1280,12 @@ def pip_install(
     requirements_dir=None,
     extra_indexes=None,
     pypi_mirror=None,
-    trusted_hosts=None
+    trusted_hosts=None,
+    use_pep517=True
 ):
     from pipenv.patched.notpip._internal import logger as piplogger
     from .utils import Mapping
     from .vendor.urllib3.util import parse_url
-
     src = []
     write_to_tmpfile = False
     if requirement:
@@ -1299,9 +1315,11 @@ def pip_install(
         f.write(vistir.misc.to_bytes(requirement.as_line()))
         r = f.name
         f.close()
-    # Install dependencies when a package is a VCS dependency.
+
     if requirement and requirement.vcs:
-        no_deps = False
+        # Install dependencies when a package is a non-editable VCS dependency.
+        if not requirement.editable:
+            no_deps = False
         # Don't specify a source directory when using --system.
         if not allow_global and ("PIP_SRC" not in os.environ):
             src.extend(["--src", "{0}".format(project.virtualenv_src_location)])
@@ -1347,16 +1365,72 @@ def pip_install(
             create_mirror_source(pypi_mirror) if is_pypi_url(source["url"]) else source
             for source in sources
         ]
+
+    line_kwargs = {"as_list": True, "include_hashes": not ignore_hashes}
+
+    # Install dependencies when a package is a VCS dependency.
+    if requirement and requirement.vcs:
+        # Don't specify a source directory when using --system.
+        src_dir = None
+        if "PIP_SRC" in os.environ:
+            src_dir = os.environ["PIP_SRC"]
+            src = ["--src", os.environ["PIP_SRC"]]
+        if not requirement.editable:
+            no_deps = False
+
+        if src_dir is not None:
+            repo = requirement.req.get_vcs_repo(src_dir=src_dir)
+        else:
+            repo = requirement.req.get_vcs_repo()
+        write_to_tmpfile = True
+        line_kwargs["include_markers"] = False
+        line_kwargs["include_hashes"] = False
+        if not requirements_dir:
+            requirements_dir = vistir.path.create_tracked_tempdir(prefix="pipenv",
+                                                                  suffix="requirements")
+        f = vistir.compat.NamedTemporaryFile(
+            prefix="pipenv-", suffix="-requirement.txt", dir=requirements_dir,
+            delete=False
+        )
+        line = "-e" if requirement.editable else ""
+        if requirement.editable or requirement.name is not None:
+            name = requirement.name
+            if requirement.extras:
+                name = "{0}{1}".format(name, requirement.extras_as_pip)
+            line = "-e {0}#egg={1}".format(vistir.path.path_to_url(repo.checkout_directory), requirement.name)
+            if repo.subdirectory:
+                line = "{0}&subdirectory={1}".format(line, repo.subdirectory)
+        else:
+            line = requirement.as_line(**line_kwargs)
+        f.write(vistir.misc.to_bytes(line))
+        r = f.name
+        f.close()
+
+    # Create files for hash mode.
+    if write_to_tmpfile and not r:
+        if not requirements_dir:
+            requirements_dir = vistir.path.create_tracked_tempdir(
+                prefix="pipenv", suffix="requirements")
+        f = vistir.compat.NamedTemporaryFile(
+            prefix="pipenv-", suffix="-requirement.txt", dir=requirements_dir,
+            delete=False
+        )
+        ignore_hashes = True if not requirement.hashes else ignore_hashes
+        line = requirement.as_line(include_hashes=not ignore_hashes)
+        line = "{0} {1}".format(line, " ".join(src))
+        f.write(vistir.misc.to_bytes(line))
+        r = f.name
+        f.close()
+
     if (requirement and requirement.editable) and not r:
-        line_kwargs = {"as_list": True}
-        if requirement.markers:
-            line_kwargs["include_markers"] = False
+        line_kwargs["include_markers"] = False
+        line_kwargs["include_hashes"] = False
         install_reqs = requirement.as_line(**line_kwargs)
         if requirement.editable and install_reqs[0].startswith("-e "):
             req, install_reqs = install_reqs[0], install_reqs[1:]
             editable_opt, req = req.split(" ", 1)
             install_reqs = [editable_opt, req] + install_reqs
-        if not all(item.startswith("--hash") for item in install_reqs):
+        if not any(item.startswith("--hash") for item in install_reqs):
             ignore_hashes = True
     elif r:
         install_reqs = ["-r", r]
@@ -1365,7 +1439,7 @@ def pip_install(
                 ignore_hashes = True
     else:
         ignore_hashes = True if not requirement.hashes else False
-        install_reqs = requirement.as_line(as_list=True)
+        install_reqs = requirement.as_line(as_list=True, include_hashes=not ignore_hashes)
         if not requirement.markers:
             install_reqs = [escape_cmd(r) for r in install_reqs]
         elif len(install_reqs) > 1:
@@ -1386,7 +1460,9 @@ def pip_install(
     pip_command.extend(prepare_pip_source_args(sources))
     if not ignore_hashes:
         pip_command.append("--require-hashes")
-
+    if not use_pep517:
+        pip_command.append("--no-build-isolation")
+        pip_command.append("--no-use-pep517")
     if environments.is_verbose():
         click.echo("$ {0}".format(pip_command), err=True)
     cache_dir = vistir.compat.Path(PIPENV_CACHE_DIR)
@@ -1405,6 +1481,8 @@ def pip_install(
         )
     cmd = Script.parse(pip_command)
     pip_command = cmd.cmdify()
+    c = None
+    # with project.environment.activated():
     c = delegator.run(pip_command, block=block, env=pip_config)
     return c
 
@@ -1863,7 +1941,7 @@ def do_install(
 
     # This is for if the user passed in dependencies, then we want to make sure we
     else:
-        from .vendor.requirementslib import Requirement
+        from .vendor.requirementslib.models.requirements import Requirement
 
         # make a tuple of (display_name, entry)
         pkg_list = packages + ["-e {0}".format(pkg) for pkg in editable_packages]
@@ -1914,6 +1992,15 @@ def do_install(
                         pypi_mirror=pypi_mirror,
                     )
                     if not c.ok:
+                        sp.write_err(vistir.compat.fs_str(
+                            "{0}: {1}".format(
+                                crayons.red("WARNING"),
+                                "Failed installing package {0}".format(pkg_line)
+                            ),
+                        ))
+                        sp.write_err(vistir.compat.fs_str(
+                            "Error text: {0}".format(c.out)
+                        ))
                         raise RuntimeError(c.err)
                 except (ValueError, RuntimeError) as e:
                     sp.write_err(vistir.compat.fs_str(
@@ -1961,12 +2048,20 @@ def do_install(
                         crayons.normal(fix_utf8("…"), bold=True),
                     )
                 ))
+                # Add the package to the Pipfile.
+                try:
+                    project.add_package_to_pipfile(pkg_requirement, dev)
+                except ValueError as e:
+                    import traceback
+                    sp.write_err(
+                        "{0} {1}".format(
+                            crayons.red("Error:", bold=True), traceback.format_exc()
+                        )
+                    )
+                    sp.fail(environments.PIPENV_SPINNER_FAIL_TEXT.format(
+                        "Failed adding package to Pipfile"
+                    ))
                 sp.ok(environments.PIPENV_SPINNER_OK_TEXT.format("Installation Succeeded"))
-            # Add the package to the Pipfile.
-            try:
-                project.add_package_to_pipfile(pkg_requirement, dev)
-            except ValueError as e:
-                raise exceptions.PipfileException(e)
             # Update project settings with pre preference.
             if pre:
                 project.update_settings({"allow_prereleases": pre})
@@ -2165,7 +2260,7 @@ def do_shell(three=None, python=False, fancy=False, shell_args=None, pypi_mirror
     # Only set PIPENV_ACTIVE after finishing reading virtualenv_location
     # otherwise its value will be changed
     os.environ["PIPENV_ACTIVE"] = vistir.misc.fs_str("1")
-    
+
     os.environ.pop("PIP_SHIMS_BASE_MODULE", None)
 
     if fancy:
@@ -2304,6 +2399,8 @@ def do_run(command, args, three=None, python=False, pypi_mirror=None):
 
     load_dot_env()
 
+    previous_pip_shims_module = os.environ.pop("PIP_SHIMS_BASE_MODULE", None)
+
     # Activate virtualenv under the current interpreter's environment
     inline_activate_virtual_environment()
 
@@ -2311,10 +2408,9 @@ def do_run(command, args, three=None, python=False, pypi_mirror=None):
     # Only set PIPENV_ACTIVE after finishing reading virtualenv_location
     # such as in inline_activate_virtual_environment
     # otherwise its value will be changed
+    previous_pipenv_active_value = os.environ.get("PIPENV_ACTIVE")
     os.environ["PIPENV_ACTIVE"] = vistir.misc.fs_str("1")
 
-    os.environ.pop("PIP_SHIMS_BASE_MODULE", None)
-    
     try:
         script = project.build_script(command, args)
         cmd_string = ' '.join([script.command] + script.args)
@@ -2322,10 +2418,21 @@ def do_run(command, args, three=None, python=False, pypi_mirror=None):
             click.echo(crayons.normal("$ {0}".format(cmd_string)), err=True)
     except ScriptEmptyError:
         click.echo("Can't run script {0!r}-it's empty?", err=True)
+    run_args = [script]
+    run_kwargs = {}
     if os.name == "nt":
-        do_run_nt(script)
+        run_fn = do_run_nt
     else:
-        do_run_posix(script, command=command)
+        run_fn = do_run_posix
+        run_kwargs = {"command": command}
+    try:
+        run_fn(*run_args, **run_kwargs)
+    finally:
+        os.environ.pop("PIPENV_ACTIVE", None)
+        if previous_pipenv_active_value is not None:
+            os.environ["PIPENV_ACTIVE"] = previous_pipenv_active_value
+        if previous_pip_shims_module is not None:
+            os.environ["PIP_SHIMS_BASE_MODULE"] = previous_pip_shims_module
 
 
 def do_check(
diff --git a/pipenv/exceptions.py b/pipenv/exceptions.py
index 0bf53929..80e3735b 100644
--- a/pipenv/exceptions.py
+++ b/pipenv/exceptions.py
@@ -4,12 +4,12 @@ import itertools
 import sys
 
 from pprint import pformat
-from traceback import format_exception
+from traceback import format_exception, format_tb
 
 import six
 
 from . import environments
-from ._compat import fix_utf8
+from ._compat import fix_utf8, decode_for_output
 from .patched import crayons
 from .vendor.click._compat import get_text_stderr
 from .vendor.click.exceptions import (
@@ -25,8 +25,8 @@ def handle_exception(exc_type, exception, traceback, hook=sys.excepthook):
         hook(exc_type, exception, traceback)
     else:
         exc = format_exception(exc_type, exception, traceback)
-        lines = itertools.chain.from_iterable([l.splitlines() for l in exc])
-        lines = list(lines)[-11:-1]
+        tb = format_tb(traceback, limit=-6)
+        lines = itertools.chain.from_iterable([frame.splitlines() for frame in tb])
         for line in lines:
             line = line.strip("'").strip('"').strip("\n").strip()
             if not line.startswith("File"):
@@ -307,3 +307,42 @@ class ResolutionFailure(PipenvException):
                 )
             )
         super(ResolutionFailure, self).__init__(fix_utf8(message), extra=extra)
+
+
+class RequirementError(PipenvException):
+
+    def __init__(self, req=None):
+        from .utils import VCS_LIST
+        keys = ("name", "path",) + VCS_LIST + ("line", "uri", "url", "relpath")
+        if req is not None:
+            possible_display_values = [getattr(req, value, None) for value in keys]
+            req_value = next(iter(
+                val for val in possible_display_values if val is not None
+            ), None)
+            if not req_value:
+                getstate_fn = getattr(req, "__getstate__", None)
+                slots = getattr(req, "__slots__", None)
+                keys_fn = getattr(req, "keys", None)
+                if getstate_fn:
+                    req_value = getstate_fn()
+                elif slots:
+                    slot_vals = [
+                        (k, getattr(req, k, None)) for k in slots
+                        if getattr(req, k, None)
+                    ]
+                    req_value = "\n".join([
+                        "    {0}: {1}".format(k, v) for k, v in slot_vals
+                    ])
+                elif keys_fn:
+                    values = [(k, req.get(k)) for k in keys_fn() if req.get(k)]
+                    req_value = "\n".join([
+                        "    {0}: {1}".format(k, v) for k, v in values
+                    ])
+                else:
+                    req_value = getattr(req.line_instance, "line", None)
+        message = "{0} {1}".format(
+            crayons.normal(decode_for_output("Failed creating requirement instance")),
+            crayons.white(decode_for_output("{0!r}".format(req_value)))
+        )
+        extra = [crayons.normal(decode_for_output(str(req)))]
+        super(RequirementError, self).__init__(message, extra=extra)
diff --git a/pipenv/project.py b/pipenv/project.py
index edbcff87..68ec4666 100644
--- a/pipenv/project.py
+++ b/pipenv/project.py
@@ -681,7 +681,7 @@ class Project(object):
         )
 
         name = self.name if self.name is not None else "Pipfile"
-        config_parser = ConfigOptionParser(name=self.name)
+        config_parser = ConfigOptionParser(name=name)
         config_parser.add_option_group(make_option_group(index_group, config_parser))
         install = config_parser.option_groups[0]
         indexes = (
@@ -856,7 +856,8 @@ class Project(object):
             return self.pipfile_sources
 
     def find_source(self, source):
-        """given a source, find it.
+        """
+        Given a source, find it.
 
         source can be a url or an index name.
         """
@@ -869,23 +870,34 @@ class Project(object):
             source = self.get_source(url=source)
         return source
 
-    def get_source(self, name=None, url=None):
+    def get_source(self, name=None, url=None, refresh=False):
+        from .utils import is_url_equal
+
         def find_source(sources, name=None, url=None):
             source = None
             if name:
-                source = [s for s in sources if s.get("name") == name]
+                source = next(iter(
+                    s for s in sources if "name" in s and s["name"] == name
+                ), None)
             elif url:
-                source = [s for s in sources if url.startswith(s.get("url"))]
-            if source:
-                return first(source)
+                source = next(iter(
+                    s for s in sources
+                    if "url" in s and is_url_equal(url, s.get("url", ""))
+                ), None)
+            if source is not None:
+                return source
 
-        found_source = find_source(self.sources, name=name, url=url)
-        if found_source:
-            return found_source
-        found_source = find_source(self.pipfile_sources, name=name, url=url)
-        if found_source:
-            return found_source
-        raise SourceNotFound(name or url)
+        sources = (self.sources, self.pipfile_sources)
+        if refresh:
+            self.clear_pipfile_cache()
+            sources = reversed(sources)
+        found = next(
+            iter(find_source(source, name=name, url=url) for source in sources), None
+        )
+        target = next(iter(t for t in (name, url) if t is not None))
+        if found is None:
+            raise SourceNotFound(target)
+        return found
 
     def get_package_name_in_pipfile(self, package_name, dev=False):
         """Get the equivalent package name in pipfile"""
@@ -930,17 +942,17 @@ class Project(object):
         # Don't re-capitalize file URLs or VCSs.
         if not isinstance(package, Requirement):
             package = Requirement.from_line(package.strip())
-        _, converted = package.pipfile_entry
+        req_name, converted = package.pipfile_entry
         key = "dev-packages" if dev else "packages"
         # Set empty group if it doesn't exist yet.
         if key not in p:
             p[key] = {}
-        name = self.get_package_name_in_pipfile(package.name, dev)
+        name = self.get_package_name_in_pipfile(req_name, dev)
         if name and is_star(converted):
             # Skip for wildcard version
             return
         # Add the package to the group.
-        p[key][name or pep423_name(package.name)] = converted
+        p[key][name or pep423_name(req_name)] = converted
         # Write Pipfile.
         self.write_toml(p)
 
diff --git a/pipenv/utils.py b/pipenv/utils.py
index fc30f791..ba33da0f 100644
--- a/pipenv/utils.py
+++ b/pipenv/utils.py
@@ -17,7 +17,6 @@ import toml
 import tomlkit
 
 from click import echo as click_echo
-from first import first
 six.add_move(six.MovedAttribute("Mapping", "collections", "collections.abc"))  # noqa
 six.add_move(six.MovedAttribute("Sequence", "collections", "collections.abc"))  # noqa
 six.add_move(six.MovedAttribute("Set", "collections", "collections.abc"))  # noqa
@@ -30,24 +29,24 @@ import crayons
 import parse
 
 from . import environments
-from .exceptions import PipenvUsageError
+from .exceptions import PipenvUsageError, ResolutionFailure, RequirementError
 from .pep508checker import lookup
 from .vendor.urllib3 import util as urllib3_util
 
 
+if environments.MYPY_RUNNING:
+    from typing import Tuple, Dict, Any, List, Union, Optional
+    from .vendor.requirementslib.models.requirements import Requirement, Line
+    from .project import Project
+
+
 logging.basicConfig(level=logging.ERROR)
 
 specifiers = [k for k in lookup.keys()]
 # List of version control systems we support.
 VCS_LIST = ("git", "svn", "hg", "bzr")
 SCHEME_LIST = ("http://", "https://", "ftp://", "ftps://", "file://")
-requests_session = None
-
-
-if environments.MYPY_RUNNING:
-    from typing import Tuple, Dict, Any, List, Union, Optional
-    from .vendor.requirementslib.models.requirements import Requirement, Line
-    from .project import Project
+requests_session = None  # type: ignore
 
 
 def _get_requests_session():
@@ -259,7 +258,7 @@ class Resolver(object):
         self.resolved_tree = set()
         self.hashes = {}
         self.clear = clear
-        self.pre = bool(pre)
+        self.pre = pre
         self.results = None
         self._pip_args = None
         self._constraints = None
@@ -344,8 +343,11 @@ class Resolver(object):
         line = " ".join(remainder)
         req = Requirement.from_line(line)
         if url:
-            index_lookup[req.normalized_name] = project.get_source(
-                url=url, refresh=True).get("name")
+            try:
+                index_lookup[req.normalized_name] = project.get_source(
+                    url=url, refresh=True).get("name")
+            except TypeError:
+                raise RequirementError(req=req)
         # strip the marker and re-add it later after resolution
         # but we will need a fallback in case resolution fails
         # eg pypiwin32
@@ -375,7 +377,10 @@ class Resolver(object):
                 _, entry = req.pipfile_entry
             parsed_line = req.req.parsed_line  # type: Line
             setup_info = None  # type: Any
-            name = req.normalized_name
+            try:
+                name = req.normalized_name
+            except TypeError:
+                raise RequirementError(req=req)
             setup_info = req.req.setup_info
             locked_deps[pep423_name(name)] = entry
             requirements = [v for v in getattr(setup_info, "requires", {}).values()]
@@ -869,7 +874,8 @@ def venv_resolve_deps(
     pypi_mirror=None,
     dev=False,
     pipfile=None,
-    lockfile=None
+    lockfile=None,
+    keep_outdated=False
 ):
     """
     Resolve dependencies for a pipenv project, acts as a portal to the target environment.
@@ -890,6 +896,7 @@ def venv_resolve_deps(
     :param pipfile: A Pipfile section to operate on, defaults to None
     :type pipfile: Optional[Dict[str, Union[str, Dict[str, bool, List[str]]]]]
     :param Dict[str, Any] lockfile: A project lockfile to mutate, defaults to None
+    :param bool keep_outdated: Whether to retain outdated dependencies and resolve with them in mind, defaults to False
     :raises RuntimeError: Raised on resolution failure
     :return: Nothing
     :rtype: None
@@ -932,6 +939,8 @@ def venv_resolve_deps(
         cmd.append("--clear")
     if allow_global:
         cmd.append("--system")
+    if dev:
+        cmd.append("--dev")
     with temp_environ():
         os.environ.update({fs_str(k): fs_str(val) for k, val in os.environ.items()})
         os.environ["PIPENV_PACKAGES"] = str("\n".join(constraints))
@@ -941,6 +950,8 @@ def venv_resolve_deps(
         os.environ["PIPENV_REQ_DIR"] = fs_str(req_dir)
         os.environ["PIP_NO_INPUT"] = fs_str("1")
         os.environ["PIPENV_SITE_DIR"] = get_pipenv_sitedir()
+        if keep_outdated:
+            os.environ["PIPENV_KEEP_OUTDATED"] = fs_str("1")
         with create_spinner(text=fs_str("Locking...")) as sp:
             c = resolve(cmd, sp)
             results = c.out.strip()
@@ -973,7 +984,6 @@ def resolve_deps(
     """Given a list of dependencies, return a resolved list of dependencies,
     using pip-tools -- and their hashes, using the warehouse API / pip.
     """
-
     index_lookup = {}
     markers_lookup = {}
     python_path = which("python", allow_global=allow_global)
diff --git a/pipenv/vendor/requirementslib/models/pipfile.py b/pipenv/vendor/requirementslib/models/pipfile.py
index 021b5d53..ba7eeed5 100644
--- a/pipenv/vendor/requirementslib/models/pipfile.py
+++ b/pipenv/vendor/requirementslib/models/pipfile.py
@@ -340,8 +340,8 @@ class Pipfile(object):
             if not os.path.exists(self.path_to("setup.py")):
                 if not build_system or not build_system.get("requires"):
                     build_system = {
-                        "requires": ["setuptools>=38.2.5", "wheel"],
-                        "build-backend": "setuptools.build_meta",
+                        "requires": ["setuptools>=40.8", "wheel"],
+                        "build-backend": "setuptools.build_meta:__legacy__",
                     }
                 self._build_system = build_system
 
diff --git a/pipenv/vendor/requirementslib/models/requirements.py b/pipenv/vendor/requirementslib/models/requirements.py
index d6c13819..18b83195 100644
--- a/pipenv/vendor/requirementslib/models/requirements.py
+++ b/pipenv/vendor/requirementslib/models/requirements.py
@@ -936,6 +936,8 @@ class Line(object):
             self.relpath = relpath
             self.path = path
             self.uri = uri
+            if prefer in ("path", "relpath") or uri.startswith("file"):
+                self.is_local = True
             if link.egg_fragment:
                 name, extras = pip_shims.shims._strip_extras(link.egg_fragment)
                 self.extras = tuple(sorted(set(parse_extras(extras))))
@@ -2550,7 +2552,7 @@ class Requirement(object):
             return True
         return False
 
-    @cached_property
+    @property
     def normalized_name(self):
         # type: () -> Text
         return canonicalize_name(self.name)
@@ -2694,7 +2696,9 @@ class Requirement(object):
                 parts.extend(hashes)
             else:
                 parts.append(hashes)
-        if sources and not (self.requirement.local_file or self.vcs):
+
+        is_local = self.is_file_or_url and self.req and self.req.is_local
+        if sources and self.requirement and not (is_local or self.vcs):
             from ..utils import prepare_pip_source_args
 
             if self.index:
diff --git a/pipenv/vendor/requirementslib/models/setup_info.py b/pipenv/vendor/requirementslib/models/setup_info.py
index b0b55d47..5f2ac1db 100644
--- a/pipenv/vendor/requirementslib/models/setup_info.py
+++ b/pipenv/vendor/requirementslib/models/setup_info.py
@@ -718,7 +718,7 @@ build-backend = "{1}"
             get_metadata(d, pkg_name=self.name, metadata_type=metadata_type)
             for d in metadata_dirs if os.path.exists(d)
         ]
-        metadata = next(iter(d for d in metadata if d is not None), None)
+        metadata = next(iter(d for d in metadata if d), None)
         if metadata is not None:
             self.populate_metadata(metadata)
 
diff --git a/pipenv/vendor/requirementslib/models/utils.py b/pipenv/vendor/requirementslib/models/utils.py
index c9852a7b..8e4836c0 100644
--- a/pipenv/vendor/requirementslib/models/utils.py
+++ b/pipenv/vendor/requirementslib/models/utils.py
@@ -338,7 +338,7 @@ def get_default_pyproject_backend():
     st_version = get_setuptools_version()
     if st_version is not None:
         parsed_st_version = parse_version(st_version)
-        if parsed_st_version >= parse_version("40.6.0"):
+        if parsed_st_version >= parse_version("40.8.0"):
             return "setuptools.build_meta:__legacy__"
     return "setuptools.build_meta"
 
@@ -366,7 +366,7 @@ def get_pyproject(path):
     if not pp_toml.exists():
         if not setup_py.exists():
             return None
-        requires = ["setuptools>=40.6", "wheel"]
+        requires = ["setuptools>=40.8", "wheel"]
         backend = get_default_pyproject_backend()
     else:
         pyproject_data = {}
@@ -375,10 +375,10 @@ def get_pyproject(path):
         build_system = pyproject_data.get("build-system", None)
         if build_system is None:
             if setup_py.exists():
-                requires = ["setuptools>=40.6", "wheel"]
+                requires = ["setuptools>=40.8", "wheel"]
                 backend = get_default_pyproject_backend()
             else:
-                requires = ["setuptools>=40.6", "wheel"]
+                requires = ["setuptools>=40.8", "wheel"]
                 backend = get_default_pyproject_backend()
             build_system = {
                 "requires": requires,
diff --git a/tasks/release.py b/tasks/release.py
index 7c2e7aba..375d7302 100644
--- a/tasks/release.py
+++ b/tasks/release.py
@@ -87,7 +87,7 @@ def release(ctx, dry_run=False):
         log(f'Would commit with message: "Release v{version}"')
     else:
         ctx.run('towncrier')
-        ctx.run("git add CHANGELOG.rst news/")
+        ctx.run("git add CHANGELOG.rst news/ {0}".format(get_version_file(ctx).as_posix()))
         ctx.run("git rm CHANGELOG.draft.rst")
         ctx.run(f'git commit -m "Release v{version}"')
 
diff --git a/tasks/vendoring/__init__.py b/tasks/vendoring/__init__.py
index c9757965..d6ea9614 100644
--- a/tasks/vendoring/__init__.py
+++ b/tasks/vendoring/__init__.py
@@ -346,6 +346,26 @@ def post_install_cleanup(ctx, vendor_dir):
     remove_all(vendor_dir.glob('toml.py'))
 
 
+@invoke.task
+def apply_patches(ctx, patched=False, pre=False):
+    if patched:
+        vendor_dir = _get_patched_dir(ctx)
+    else:
+        vendor_dir = _get_vendor_dir(ctx)
+    log("Applying pre-patches...")
+    patch_dir = Path(__file__).parent / 'patches' / vendor_dir.name
+    if pre:
+        if not patched:
+            pass
+        for patch in patch_dir.glob('*.patch'):
+            if not patch.name.startswith('_post'):
+                apply_patch(ctx, patch)
+    else:
+        patches = patch_dir.glob('*.patch' if not patched else '_post*.patch')
+        for patch in patches:
+            apply_patch(ctx, patch)
+
+
 def vendor(ctx, vendor_dir, package=None, rewrite=True):
     log('Reinstalling vendored libraries')
     is_patched = vendor_dir.name == 'patched'
@@ -359,12 +379,8 @@ def vendor(ctx, vendor_dir, package=None, rewrite=True):
 
     # Apply pre-patches
     log("Applying pre-patches...")
-    patch_dir = Path(__file__).parent / 'patches' / vendor_dir.name
     if is_patched:
-        for patch in patch_dir.glob('*.patch'):
-            if not patch.name.startswith('_post'):
-                apply_patch(ctx, patch)
-
+        apply_patches(ctx, patched=is_patched, pre=True)
     log("Removing scandir library files...")
     remove_all(vendor_dir.glob('*.so'))
     drop_dir(vendor_dir / 'setuptools')
@@ -385,10 +401,7 @@ def vendor(ctx, vendor_dir, package=None, rewrite=True):
                 rewrite_file_imports(item, vendored_libs, vendor_dir)
     write_backport_imports(ctx, vendor_dir)
     if not package:
-        log('Applying post-patches...')
-        patches = patch_dir.glob('*.patch' if not is_patched else '_post*.patch')
-        for patch in patches:
-            apply_patch(ctx, patch)
+        apply_patches(ctx, patched=is_patched, pre=False)
         if is_patched:
             piptools_vendor = vendor_dir / 'piptools' / '_vendored'
             if piptools_vendor.exists():
diff --git a/tasks/vendoring/patches/vendor/dotenv-windows-unicode.patch b/tasks/vendoring/patches/vendor/dotenv-windows-unicode.patch
deleted file mode 100644
index c090e885..00000000
--- a/tasks/vendoring/patches/vendor/dotenv-windows-unicode.patch
+++ /dev/null
@@ -1,18 +0,0 @@
-diff --git a/pipenv/vendor/dotenv/main.py b/pipenv/vendor/dotenv/main.py
-index 3d1bd72f..75f49c4a 100644
---- a/pipenv/vendor/dotenv/main.py
-+++ b/pipenv/vendor/dotenv/main.py
-@@ -94,6 +94,13 @@ class DotEnv():
-         for k, v in self.dict().items():
-             if k in os.environ and not override:
-                 continue
-+            # With Python 2 on Windows, ensuree environment variables are
-+            # system strings to avoid "TypeError: environment can only contain
-+            # strings" in Python's subprocess module.
-+            if sys.version_info.major < 3 and sys.platform == 'win32':
-+                from pipenv.utils import fs_str
-+                k = fs_str(k)
-+                v = fs_str(v)
-             os.environ[k] = v
-
-         return True
diff --git a/tasks/vendoring/patches/vendor/pipdeptree-updated-pip18.patch b/tasks/vendoring/patches/vendor/pipdeptree-updated-pip18.patch
index d479ebfa..5d5a381f 100644
--- a/tasks/vendoring/patches/vendor/pipdeptree-updated-pip18.patch
+++ b/tasks/vendoring/patches/vendor/pipdeptree-updated-pip18.patch
@@ -7,7 +7,7 @@ index 7820aa5..2082fc8 100644
      from ordereddict import OrderedDict
  
 -try:
--    from pipenv.patched.notpip._internal import get_installed_distributions
+-    from pipenv.patched.notpip._internal.utils.misc import get_installed_distributions
 -    from pipenv.patched.notpip._internal.operations.freeze import FrozenRequirement
 -except ImportError:
 -    from pipenv.patched.notpip import get_installed_distributions, FrozenRequirement
@@ -17,3 +17,4 @@ index 7820aa5..2082fc8 100644
  
  import pkg_resources
  # inline:
+
diff --git a/tasks/vendoring/patches/vendor/tomlkit-fix.patch b/tasks/vendoring/patches/vendor/tomlkit-fix.patch
index 36e2f808..4aa6c16f 100644
--- a/tasks/vendoring/patches/vendor/tomlkit-fix.patch
+++ b/tasks/vendoring/patches/vendor/tomlkit-fix.patch
@@ -14,8 +14,10 @@ diff --git a/pipenv/vendor/tomlkit/container.py b/pipenv/vendor/tomlkit/containe
 index cb8af1d5..9b5db5cb 100644
 --- a/pipenv/vendor/tomlkit/container.py
 +++ b/pipenv/vendor/tomlkit/container.py
-@@ -1,13 +1,5 @@
+@@ -1,15 +1,7 @@
  from __future__ import unicode_literals
+
+ import copy
  
 -from typing import Any
 -from typing import Dict
diff --git a/tasks/vendoring/patches/vendor/vistir-imports.patch b/tasks/vendoring/patches/vendor/vistir-imports.patch
index 673efad8..544b5564 100644
--- a/tasks/vendoring/patches/vendor/vistir-imports.patch
+++ b/tasks/vendoring/patches/vendor/vistir-imports.patch
@@ -15,7 +15,7 @@ diff --git a/pipenv/vendor/vistir/compat.py b/pipenv/vendor/vistir/compat.py
 index 9ae33fdc..ec3b65cb 100644
 --- a/pipenv/vendor/vistir/compat.py
 +++ b/pipenv/vendor/vistir/compat.py
-@@ -31,11 +31,11 @@ if sys.version_info >= (3, 5):
+@@ -43,11 +43,11 @@ if sys.version_info >= (3, 5):
      from functools import lru_cache
  else:
      from pathlib2 import Path
@@ -29,12 +29,12 @@ index 9ae33fdc..ec3b65cb 100644
      NamedTemporaryFile = _NamedTemporaryFile
  else:
      from tempfile import NamedTemporaryFile
-@@ -44,7 +44,7 @@ else:
+@@ -56,7 +56,7 @@ else:
  try:
      from weakref import finalize
  except ImportError:
--    from backports.weakref import finalize
-+    from pipenv.vendor.backports.weakref import finalize
+-    from backports.weakref import finalize  # type: ignore
++    from pipenv.vendor.backports.weakref import finalize  # type: ignore
  
  try:
      from functools import partialmethod
diff --git a/tests/integration/conftest.py b/tests/integration/conftest.py
index b5b5bc85..f96e6ec6 100644
--- a/tests/integration/conftest.py
+++ b/tests/integration/conftest.py
@@ -6,11 +6,11 @@ import warnings
 import pytest
 
 from vistir.compat import ResourceWarning, fs_str
+from vistir.contextmanagers import temp_environ
 from vistir.path import mkdir_p
 
 from pipenv._compat import Path, TemporaryDirectory
 from pipenv.exceptions import VirtualenvActivationException
-from pipenv.utils import temp_environ
 from pipenv.vendor import delegator, requests, toml, tomlkit
 from pytest_pypi.app import prepare_fixtures
 from pytest_pypi.app import prepare_packages as prepare_pypi_packages
@@ -187,14 +187,21 @@ class _Pipfile(object):
 
 class _PipenvInstance(object):
     """An instance of a Pipenv Project..."""
-    def __init__(self, pypi=None, pipfile=True, chdir=False, path=None, home_dir=None):
+    def __init__(
+        self, pypi=None, pipfile=True, chdir=False, path=None, home_dir=None,
+        venv_root=None, ignore_virtualenvs=True, venv_in_project=True
+    ):
         self.pypi = pypi
-        self.original_umask = os.umask(0o007)
+        if ignore_virtualenvs:
+            os.environ["PIPENV_IGNORE_VIRTUALENVS"] = fs_str("1")
+        if venv_root:
+            os.environ["VIRTUAL_ENV"] = venv_root
+        if venv_in_project:
+            os.environ["PIPENV_VENV_IN_PROJECT"] = fs_str("1")
+        else:
+            os.environ.pop("PIPENV_VENV_IN_PROJECT", None)
+
         self.original_dir = os.path.abspath(os.curdir)
-        os.environ["PIPENV_NOSPIN"] = fs_str("1")
-        os.environ["CI"] = fs_str("1")
-        warnings.simplefilter("ignore", category=ResourceWarning)
-        warnings.filterwarnings("ignore", category=ResourceWarning, message="unclosed.*<ssl.SSLSocket.*>")
         path = path if path else os.environ.get("PIPENV_PROJECT_DIR", None)
         if not path:
             self._path = TemporaryDirectory(suffix='-project', prefix='pipenv-')
@@ -224,10 +231,6 @@ class _PipenvInstance(object):
             self._pipfile = _Pipfile(Path(p_path))
 
     def __enter__(self):
-        os.environ['PIPENV_DONT_USE_PYENV'] = fs_str('1')
-        os.environ['PIPENV_IGNORE_VIRTUALENVS'] = fs_str('1')
-        os.environ['PIPENV_VENV_IN_PROJECT'] = fs_str('1')
-        os.environ['PIPENV_NOSPIN'] = fs_str('1')
         if self.chdir:
             os.chdir(self.path)
         return self
@@ -243,7 +246,6 @@ class _PipenvInstance(object):
             except OSError as e:
                 _warn_msg = warn_msg.format(e)
                 warnings.warn(_warn_msg, ResourceWarning)
-        os.umask(self.original_umask)
 
     def pipenv(self, cmd, block=True):
         if self.pipfile_path and os.path.isfile(self.pipfile_path):
@@ -290,7 +292,17 @@ class _PipenvInstance(object):
 
 @pytest.fixture()
 def PipenvInstance():
-    yield _PipenvInstance
+    with temp_environ():
+        original_umask = os.umask(0o007)
+        os.environ["PIPENV_NOSPIN"] = fs_str("1")
+        os.environ["CI"] = fs_str("1")
+        os.environ['PIPENV_DONT_USE_PYENV'] = fs_str('1')
+        warnings.simplefilter("ignore", category=ResourceWarning)
+        warnings.filterwarnings("ignore", category=ResourceWarning, message="unclosed.*<ssl.SSLSocket.*>")
+        try:
+            yield _PipenvInstance
+        finally:
+            os.umask(original_umask)
 
 
 @pytest.fixture(autouse=True)
diff --git a/tests/integration/test_install_basic.py b/tests/integration/test_install_basic.py
index f858f8ac..2f91486e 100644
--- a/tests/integration/test_install_basic.py
+++ b/tests/integration/test_install_basic.py
@@ -454,17 +454,18 @@ def test_rewrite_outline_table(PipenvInstance, pypi):
         with open(p.pipfile_path, 'w') as f:
             contents = """
 [packages]
-six = {version = "*", editable = true}
+six = {version = "*"}
 
 [packages.requests]
 version = "*"
+extras = ["socks"]
             """.strip()
             f.write(contents)
-        c = p.pipenv("install -e click")
+        c = p.pipenv("install plette[validation]")
         assert c.return_code == 0
         with open(p.pipfile_path) as f:
             contents = f.read()
         assert "[packages.requests]" not in contents
-        assert 'six = {version = "*", editable = true}' in contents
-        assert 'requests = {version = "*"}' in contents
-        assert 'click = {' in contents
+        assert 'six = {version = "*"}' in contents
+        assert 'requests = {version = "*"' in contents
+        assert 'plette = {' in contents
diff --git a/tests/integration/test_install_twists.py b/tests/integration/test_install_twists.py
index 0879a265..af6dbd45 100644
--- a/tests/integration/test_install_twists.py
+++ b/tests/integration/test_install_twists.py
@@ -23,22 +23,21 @@ def test_local_extras_install(PipenvInstance, pypi):
             contents = """
 from setuptools import setup, find_packages
 setup(
-name='testpipenv',
-version='0.1',
-description='Pipenv Test Package',
-author='Pipenv Test',
-author_email='test@pipenv.package',
-license='MIT',
-packages=find_packages(),
-install_requires=[],
-extras_require={'dev': ['six']},
-zip_safe=False
+    name='testpipenv',
+    version='0.1',
+    description='Pipenv Test Package',
+    author='Pipenv Test',
+    author_email='test@pipenv.package',
+    license='MIT',
+    packages=find_packages(),
+    install_requires=[],
+    extras_require={'dev': ['six']},
+    zip_safe=False
 )
             """.strip()
             fh.write(contents)
         line = "-e .[dev]"
-        # pipfile = {"testpipenv": {"path": ".", "editable": True, "extras": ["dev"]}}
-        project = Project()
+        pipfile = {"testpipenv": {"path": ".", "editable": True, "extras": ["dev"]}}
         with open(os.path.join(p.path, 'Pipfile'), 'w') as fh:
             fh.write("""
 [packages]
@@ -54,10 +53,11 @@ testpipenv = {path = ".", editable = true, extras = ["dev"]}
         assert "six" in p.lockfile["default"]
         c = p.pipenv("--rm")
         assert c.return_code == 0
+        project = Project()
         project.write_toml({"packages": {}, "dev-packages": {}})
         c = p.pipenv("install {0}".format(line))
         assert c.return_code == 0
-        assert "testpipenv" in p.pipfile["packages"]
+        assert "testpipenv" in p.pipfile["packages"], "{0}\n{1}\n\n{2}\n\n{3}".format(p.pipfile, Path(p.pipfile_path).read_text(), Path(os.getcwd()).joinpath("setup.py").read_text(), Path(os.path.join(os.getcwd(), "testpipenv.egg-info/PKG-INFO")).read_text())
         assert p.pipfile["packages"]["testpipenv"]["path"] == "."
         assert p.pipfile["packages"]["testpipenv"]["extras"] == ["dev"]
         assert "six" in p.lockfile["default"]
@@ -67,7 +67,7 @@ testpipenv = {path = ".", editable = true, extras = ["dev"]}
 @pytest.mark.local
 @pytest.mark.needs_internet
 @flaky
-class TestDependencyLinks(object):
+class TestDirectDependencies(object):
     """Ensure dependency_links are parsed and installed.
 
     This is needed for private repo dependencies.
@@ -85,18 +85,15 @@ setup(
     version='0.1',
     packages=[],
     install_requires=[
-        'test-private-dependency'
-    ],
-    dependency_links=[
         '{0}'
-    ]
+    ],
 )
             """.strip().format(deplink)
             fh.write(contents)
 
     @staticmethod
     def helper_dependency_links_install_test(pipenv_instance, deplink):
-        TestDependencyLinks.helper_dependency_links_install_make_setup(pipenv_instance, deplink)
+        TestDirectDependencies.helper_dependency_links_install_make_setup(pipenv_instance, deplink)
         c = pipenv_instance.pipenv("install -v -e .")
         assert c.return_code == 0
         assert "test-private-dependency" in pipenv_instance.lockfile["default"]
@@ -107,19 +104,20 @@ setup(
         """Ensure dependency_links are parsed and installed (needed for private repo dependencies).
         """
         with temp_environ(), PipenvInstance(pypi=pypi, chdir=True) as p:
-            os.environ['PIP_PROCESS_DEPENDENCY_LINKS'] = '1'
-            TestDependencyLinks.helper_dependency_links_install_test(
+            os.environ["PIP_NO_BUILD_ISOLATION"] = '1'
+            TestDirectDependencies.helper_dependency_links_install_test(
                 p,
-                'git+https://github.com/atzannes/test-private-dependency@v0.1#egg=test-private-dependency-v0.1'
+                'test-private-dependency@ git+https://github.com/atzannes/test-private-dependency@v0.1'
             )
 
     @pytest.mark.needs_github_ssh
     def test_ssh_dependency_links_install(self, PipenvInstance, pypi):
         with temp_environ(), PipenvInstance(pypi=pypi, chdir=True) as p:
             os.environ['PIP_PROCESS_DEPENDENCY_LINKS'] = '1'
-            TestDependencyLinks.helper_dependency_links_install_test(
+            os.environ["PIP_NO_BUILD_ISOLATION"] = '1'
+            TestDirectDependencies.helper_dependency_links_install_test(
                 p,
-                'git+ssh://git@github.com/atzannes/test-private-dependency@v0.1#egg=test-private-dependency-v0.1'
+                'test-private-dependency@ git+ssh://git@github.com/atzannes/test-private-dependency@v0.1'
             )
 
 
@@ -268,8 +266,8 @@ def test_local_zipfiles(PipenvInstance, pypi, testsroot):
         assert "file" in dep or "path" in dep
         assert c.return_code == 0
 
-        key = [k for k in p.lockfile["default"].keys()][0]
-        dep = p.lockfile["default"][key]
+        # This now gets resolved to its name correctly
+        dep = p.lockfile["default"]["requests"]
 
         assert "file" in dep or "path" in dep
 
diff --git a/tests/integration/test_install_uri.py b/tests/integration/test_install_uri.py
index 4dd35882..664f30cc 100644
--- a/tests/integration/test_install_uri.py
+++ b/tests/integration/test_install_uri.py
@@ -25,6 +25,7 @@ def test_basic_vcs_install(PipenvInstance, pip_src_dir, pypi):
         assert p.lockfile["default"]["six"] == {
             "git": "https://github.com/benjaminp/six.git",
             "ref": "15e31431af97e5e64b80af0a3f598d382bcdd49a",
+            "version": "==1.11.0"
         }
         assert "gitdb2" in p.lockfile["default"]
 
@@ -42,6 +43,7 @@ def test_git_vcs_install(PipenvInstance, pip_src_dir, pypi):
         assert p.lockfile["default"]["six"] == {
             "git": "git://github.com/benjaminp/six.git",
             "ref": "15e31431af97e5e64b80af0a3f598d382bcdd49a",
+            "version": "==1.11.0"
         }
 
 
@@ -59,6 +61,7 @@ def test_ssh_vcs_install(PipenvInstance, pip_src_dir, pypi):
         assert p.lockfile["default"]["six"] == {
             "git": "ssh://git@github.com/benjaminp/six.git",
             "ref": "15e31431af97e5e64b80af0a3f598d382bcdd49a",
+            "version": "==1.11.0"
         }
 
 
@@ -66,8 +69,9 @@ def test_ssh_vcs_install(PipenvInstance, pip_src_dir, pypi):
 @pytest.mark.urls
 @pytest.mark.needs_internet
 @flaky
-def test_urls_work(PipenvInstance, pypi, pip_src_dir):
+def test_urls_work(PipenvInstance, pypi):
     with PipenvInstance(pypi=pypi, chdir=True) as p:
+        # the library this installs is "django-cms"
         path = p._pipfile.get_url("django", "3.4.x.zip")
         c = p.pipenv(
             "install {0}".format(path)
@@ -77,7 +81,8 @@ def test_urls_work(PipenvInstance, pypi, pip_src_dir):
         dep = list(p.pipfile["packages"].values())[0]
         assert "file" in dep, p.pipfile
 
-        dep = list(p.lockfile["default"].values())[0]
+        # now that we handle resolution with requirementslib, this will resolve to a name
+        dep = p.lockfile["default"]["django-cms"]
         assert "file" in dep, p.lockfile
 
 
@@ -219,8 +224,8 @@ def test_get_vcs_refs(PipenvInstance, pip_src_dir):
             == "5efb522b0647f7467248273ec1b893d06b984a59"
         )
         pipfile = Path(p.pipfile_path)
-        new_content = pipfile.read_bytes().replace(b"1.9.0", b"1.11.0")
-        pipfile.write_bytes(new_content)
+        new_content = pipfile.read_text().replace(u"1.9.0", u"1.11.0")
+        pipfile.write_text(new_content)
         c = p.pipenv("lock")
         assert c.return_code == 0
         assert (
diff --git a/tests/integration/test_lock.py b/tests/integration/test_lock.py
index d993b1a2..93b9d4f8 100644
--- a/tests/integration/test_lock.py
+++ b/tests/integration/test_lock.py
@@ -4,7 +4,7 @@ import sys
 import pytest
 
 from flaky import flaky
-
+from vistir.compat import Path
 from pipenv.utils import temp_environ
 
 
@@ -585,6 +585,7 @@ six = "*"
         assert p.lockfile["default"]["six"]["index"] == "test"
         with open(p.pipfile_path, 'w') as f:
             f.write(contents.replace('name = "test"', 'name = "custom"'))
-        c = p.pipenv("lock")
+        c = p.pipenv("lock --clear")
         assert c.return_code == 0
-        assert p.lockfile["default"]["six"]["index"] == "custom"
+        assert "index" in p.lockfile["default"]["six"]
+        assert p.lockfile["default"]["six"]["index"] == "custom", Path(p.lockfile_path).read_text() # p.lockfile["default"]["six"]
diff --git a/tests/integration/test_project.py b/tests/integration/test_project.py
index 42754521..237fd483 100644
--- a/tests/integration/test_project.py
+++ b/tests/integration/test_project.py
@@ -8,6 +8,7 @@ import pytest
 from pipenv.patched import pipfile
 from pipenv.project import Project
 from pipenv.utils import temp_environ
+import pipenv.environments
 
 
 @pytest.mark.project
@@ -168,25 +169,41 @@ def test_include_editable_packages(PipenvInstance, pypi, testsroot, pathlib_tmpd
 
 @pytest.mark.project
 @pytest.mark.virtualenv
-def test_run_in_virtualenv(PipenvInstance, pypi, virtualenv):
-    with PipenvInstance(chdir=True, pypi=pypi) as p:
-        os.environ['PIPENV_IGNORE_VIRTUALENVS'] = '1'
+def test_run_in_virtualenv_with_global_context(PipenvInstance, pypi, virtualenv):
+    with PipenvInstance(chdir=True, pypi=pypi, venv_root=virtualenv.as_posix(), ignore_virtualenvs=False, venv_in_project=False) as p:
         c = p.pipenv('run which pip')
         assert c.return_code == 0
-        assert 'virtualenv' not in c.out
-
-        os.environ.pop("PIPENV_IGNORE_VIRTUALENVS", None)
-        c = p.pipenv('run which pip')
-        assert c.return_code == 0
-        assert 'virtualenv' in c.out
+        assert 'Creating a virtualenv' not in c.err
         project = Project()
         assert project.virtualenv_location == str(virtualenv)
         c = p.pipenv("run pip install click")
         assert c.return_code == 0
         assert "Courtesy Notice" in c.err
+        c = p.pipenv("install six")
+        assert c.return_code == 0
         c = p.pipenv('run python -c "import click;print(click.__file__)"')
         assert c.return_code == 0
         assert c.out.strip().startswith(str(virtualenv))
         c = p.pipenv("clean --dry-run")
         assert c.return_code == 0
         assert "click" in c.out
+
+
+@pytest.mark.project
+@pytest.mark.virtualenv
+def test_run_in_virtualenv(PipenvInstance, pypi):
+    with PipenvInstance(chdir=True, pypi=pypi) as p:
+        c = p.pipenv('run which pip')
+        assert c.return_code == 0
+        assert 'Creating a virtualenv' in c.err
+        project = Project()
+        c = p.pipenv("run pip install click")
+        assert c.return_code == 0
+        c = p.pipenv("install six")
+        assert c.return_code == 0
+        c = p.pipenv('run python -c "import click;print(click.__file__)"')
+        assert c.return_code == 0
+        assert c.out.strip().startswith(str(project.virtualenv_location))
+        c = p.pipenv("clean --dry-run")
+        assert c.return_code == 0
+        assert "click" in c.out
diff --git a/tests/integration/test_sync.py b/tests/integration/test_sync.py
index 8b8745e7..c9e5c057 100644
--- a/tests/integration/test_sync.py
+++ b/tests/integration/test_sync.py
@@ -21,11 +21,16 @@ def test_sync_error_without_lockfile(PipenvInstance, pypi):
 @pytest.mark.sync
 @pytest.mark.lock
 def test_mirror_lock_sync(PipenvInstance, pypi):
-    with temp_environ(), PipenvInstance(chdir=True) as p:
+    with temp_environ(), PipenvInstance(chdir=True, pypi=pypi) as p:
         mirror_url = os.environ.pop('PIPENV_TEST_INDEX', "https://pypi.kennethreitz.org/simple")
         assert 'pypi.org' not in mirror_url
         with open(p.pipfile_path, 'w') as f:
             f.write("""
+[[source]]
+name = "pypi"
+url = "https://pypi.org/simple"
+verify_ssl = true
+
 [packages]
 six = "*"
             """.strip())
diff --git a/tests/pytest-pypi/pytest_pypi/app.py b/tests/pytest-pypi/pytest_pypi/app.py
index 4e013ab5..fa494ea8 100644
--- a/tests/pytest-pypi/pytest_pypi/app.py
+++ b/tests/pytest-pypi/pytest_pypi/app.py
@@ -1,5 +1,6 @@
 import os
 import json
+import io
 import sys
 
 import requests
@@ -29,7 +30,26 @@ class Package(object):
                 with open(os.path.join(path, 'api.json')) as f:
                     return json.load(f)
             except FileNotFoundError:
-                pass
+                r = session.get('https://pypi.org/pypi/{0}/json'.format(self.name))
+                response = r.json()
+                releases = response["releases"]
+                files = {
+                    pkg for pkg_dir in self._package_dirs
+                    for pkg in os.listdir(pkg_dir)
+                }
+                for release in list(releases.keys()):
+                    values = (
+                        r for r in releases[release] if r["filename"] in files
+                    )
+                    values = list(values)
+                    if values:
+                        releases[release] = values
+                    else:
+                        del releases[release]
+                response["releases"] = releases
+                with io.open(os.path.join(path, "api.json"), "w") as fh:
+                    json.dump(response, fh, indent=4)
+                return response
 
     def __repr__(self):
         return "<Package name={0!r} releases={1!r}".format(self.name, len(self.releases))
@@ -152,13 +172,11 @@ def serve_artifact(artifact, fn):
 
 @app.route('/pypi/<package>/json')
 def json_for_package(package):
-    try:
-        return jsonify(packages[package].json)
-    except Exception:
-        pass
-
-    r = session.get('https://pypi.org/pypi/{0}/json'.format(package))
-    return jsonify(r.json())
+    return jsonify(packages[package].json)
+    # try:
+    # except Exception:
+    #     r = session.get('https://pypi.org/pypi/{0}/json'.format(package))
+    #     return jsonify(r.json())
 
 
 if __name__ == '__main__':
diff --git a/tests/unit/test_utils.py b/tests/unit/test_utils.py
index ac5eb29b..17e5bab1 100644
--- a/tests/unit/test_utils.py
+++ b/tests/unit/test_utils.py
@@ -75,12 +75,20 @@ DEP_PIP_PAIRS = [
 ]
 
 
+def mock_unpack(link, source_dir, download_dir, only_download=False, session=None,
+                hashes=None, progress_bar="off"):
+    return
+
+
 @pytest.mark.utils
 @pytest.mark.parametrize("deps, expected", DEP_PIP_PAIRS)
-def test_convert_deps_to_pip(deps, expected):
-    if expected.startswith("Django"):
-        expected = expected.lower()
-    assert pipenv.utils.convert_deps_to_pip(deps, r=False) == [expected]
+def test_convert_deps_to_pip(monkeypatch, deps, expected):
+    with monkeypatch.context() as m:
+        import pip_shims
+        m.setattr(pip_shims.shims, "unpack_url", mock_unpack)
+        if expected.startswith("Django"):
+            expected = expected.lower()
+        assert pipenv.utils.convert_deps_to_pip(deps, r=False) == [expected]
 
 
 @pytest.mark.utils
@@ -121,8 +129,11 @@ def test_convert_deps_to_pip(deps, expected):
         ),
     ],
 )
-def test_convert_deps_to_pip_one_way(deps, expected):
-    assert pipenv.utils.convert_deps_to_pip(deps, r=False) == [expected.lower()]
+def test_convert_deps_to_pip_one_way(monkeypatch, deps, expected):
+    with monkeypatch.context() as m:
+        import pip_shims
+        # m.setattr(pip_shims.shims, "unpack_url", mock_unpack)
+        assert pipenv.utils.convert_deps_to_pip(deps, r=False) == [expected.lower()]
 
 
 @pytest.mark.skipif(isinstance(u"", str), reason="don't need to test if unicode is str")