diff --git a/pkg/imgpkg/bundle/bundle.go b/pkg/imgpkg/bundle/bundle.go
index 5049843ca..27d366f1e 100644
--- a/pkg/imgpkg/bundle/bundle.go
+++ b/pkg/imgpkg/bundle/bundle.go
@@ -126,20 +126,25 @@ func (o *Bundle) NoteCopy(processedImages *imageset.ProcessedImages, reg ImagesM
 		APIVersion: LocationAPIVersion,
 		Kind:       ImageLocationsKind,
 	}
+	foundImages := map[string]bool{}
 	var bundleProcessedImage imageset.ProcessedImage
 	for _, image := range processedImages.All() {
-		ref, found := o.findCachedImageRef(image.UnprocessedImageRef.DigestRef)
-		if found {
-			locationsCfg.Images = append(locationsCfg.Images, ImageLocation{
-				Image:    ref.Image,
-				IsBundle: *ref.IsBundle,
-			})
-		}
 		imgDigest, err := regname.NewDigest(image.UnprocessedImageRef.DigestRef)
 		if err != nil {
 			panic(fmt.Sprintf("Internal inconsistency: Image '%s' is not a valid Digest Reference", err))
 		}
 
+		ref, found := o.findCachedImageRef(image.UnprocessedImageRef.DigestRef)
+		if found {
+			if _, ok := foundImages[imgDigest.DigestStr()]; !ok {
+				locationsCfg.Images = append(locationsCfg.Images, ImageLocation{
+					Image:    ref.Image,
+					IsBundle: *ref.IsBundle,
+				})
+				foundImages[imgDigest.DigestStr()] = true
+			}
+		}
+
 		if imgDigest.DigestStr() == o.Digest() {
 			bundleProcessedImage = image
 		}
diff --git a/pkg/imgpkg/imageset/unprocessed_image_refs.go b/pkg/imgpkg/imageset/unprocessed_image_refs.go
index d0ba7353b..cb5c5d482 100644
--- a/pkg/imgpkg/imageset/unprocessed_image_refs.go
+++ b/pkg/imgpkg/imageset/unprocessed_image_refs.go
@@ -18,7 +18,14 @@ type UnprocessedImageRef struct {
 	OrigRef   string
 }
 
+// Key that uniquely identify a ImageRef
 func (u UnprocessedImageRef) Key() string {
+	// With this definition of key if one image is shared by 2 bundles
+	// but it is referred in the ImagesLock using a different Registry/Repository
+	// while the SHA is the same, we consider them to be different images, which they are not.
+	// This will lead to duplication of the image in the UnprocessedImageRef that needs to be
+	// address by whoever is using it. This should impact performance of copy because ggcr
+	// will dedupe the Image/Layers based on the SHA.
 	return u.DigestRef + ":" + u.Tag
 }