diff --git a/labs/app_python/Dockerfile b/labs/app_python/Dockerfile
index c43ef9ed35..b1df53879a 100644
--- a/labs/app_python/Dockerfile
+++ b/labs/app_python/Dockerfile
@@ -4,10 +4,12 @@ WORKDIR /app
 
 RUN groupadd -r appuser && useradd -r -g appuser appuser
 
-COPY requirements.txt .
+RUN apt-get update && apt-get install -y curl && rm -rf /var/lib/apt/lists/*
 
+COPY requirements.txt .
 RUN pip install --no-cache-dir --upgrade pip && \
-    pip install --no-cache-dir -r requirements.txt
+    pip install --no-cache-dir -r requirements.txt && \
+    pip install flask python-json-logger
 
 COPY . .
 
diff --git a/labs/app_python/app.py b/labs/app_python/app.py
index ce33da9724..a5eeb3c199 100644
--- a/labs/app_python/app.py
+++ b/labs/app_python/app.py
@@ -1,140 +1,132 @@
 """
-DevOps Info Service
-Веб-сервис для предоставления информации о системе и состоянии сервиса
+DevOps Info Service with JSON Logging
 """
 
 import os
 import socket
-import platform
+import logging
 from datetime import datetime, timezone
 from flask import Flask, jsonify, request
+from pythonjsonlogger import jsonlogger
 
-# Создаем приложение Flask
+# Flask app
 app = Flask(__name__)
 
-# Настройки из переменных окружения
+# ENV config
 HOST = os.getenv('HOST', '0.0.0.0')
 PORT = int(os.getenv('PORT', 5000))
 DEBUG = os.getenv('DEBUG', 'False').lower() == 'true'
 
-# Время запуска сервиса
 START_TIME = datetime.now(timezone.utc)
 
-# Добавляем Docker информацию
+# Docker info
 IS_DOCKER = os.path.exists('/.dockerenv')
 CONTAINER_ID = socket.gethostname() if IS_DOCKER else None
 
+# ----------------------------
+# JSON LOGGING CONFIG
+# ----------------------------
+logger = logging.getLogger()
+logger.setLevel(logging.INFO)
+
+handler = logging.StreamHandler()
+formatter = jsonlogger.JsonFormatter(
+    '%(asctime)s %(levelname)s %(message)s %(method)s %(path)s %(status)s %(client_ip)s %(duration)s'
+)
+handler.setFormatter(formatter)
+logger.addHandler(handler)
+
+# ----------------------------
+# HELPERS
+# ----------------------------
 def get_uptime():
-    """Рассчитывает время работы сервиса"""
     delta = datetime.now(timezone.utc) - START_TIME
     seconds = int(delta.total_seconds())
-    
-    hours = seconds // 3600
-    minutes = (seconds % 3600) // 60
-    secs = seconds % 60
-    
-    parts = []
-    if hours > 0:
-        parts.append(f"{hours} hour{'s' if hours != 1 else ''}")
-    if minutes > 0:
-        parts.append(f"{minutes} minute{'s' if minutes != 1 else ''}")
-    if secs > 0 or not parts:
-        parts.append(f"{secs} second{'s' if secs != 1 else ''}")
-    
-    return {
-        'seconds': seconds,
-        'human': ', '.join(parts)
-    }
+    return {'seconds': seconds, 'human': f"{seconds} seconds"}
+
+# ----------------------------
+# LOGGING MIDDLEWARE
+# ----------------------------
+@app.before_request
+def log_request():
+    request.start_time = datetime.now(timezone.utc)
+    logging.info(
+        "request_received",
+        extra={
+            "method": request.method,
+            "path": request.path,
+            "client_ip": request.remote_addr
+        }
+    )
+
+@app.after_request
+def log_response(response):
+    duration = (datetime.now(timezone.utc) - request.start_time).total_seconds()
+    logging.info(
+        "request_completed",
+        extra={
+            "method": request.method,
+            "path": request.path,
+            "status": response.status_code,
+            "client_ip": request.remote_addr,
+            "duration": duration
+        }
+    )
+    return response
 
+# ----------------------------
+# ROUTES
+# ----------------------------
 @app.route('/')
 def main_endpoint():
-    """Основной эндпоинт - информация о сервисе и системе"""
-    
-    # Получаем информацию о системе
-    system_info = {
-        'hostname': socket.gethostname(),
-        'platform': platform.system(),
-        'platform_version': platform.version(),
-        'architecture': platform.machine(),
-        'cpu_count': os.cpu_count(),
-        'python_version': platform.python_version(),
-        'is_docker_container': IS_DOCKER,
-        'container_id': CONTAINER_ID
-    }
-    
-    # Информация о времени
-    runtime_info = {
-        'uptime_seconds': get_uptime()['seconds'],
-        'uptime_human': get_uptime()['human'],
-        'current_time': datetime.now(timezone.utc).isoformat(),
-        'timezone': 'UTC',
-        'start_time': START_TIME.isoformat()
-    }
-    
-    # Информация о запросе
-    request_info = {
-        'client_ip': request.remote_addr,
-        'user_agent': request.headers.get('User-Agent', 'Unknown'),
-        'method': request.method,
-        'path': request.path
-    }
-    
     return jsonify({
-        'service': {
-            'name': 'devops-info-service',
-            'version': '2.0.0',
-            'description': 'DevOps course info service (Dockerized)',
-            'framework': 'Flask',
-            'environment': 'docker' if IS_DOCKER else 'local'
-        },
-        'system': system_info,
-        'runtime': runtime_info,
-        'request': request_info,
-        'endpoints': [
-            {'path': '/', 'method': 'GET', 'description': 'Service information'},
-            {'path': '/health', 'method': 'GET', 'description': 'Health check'},
-            {'path': '/docker', 'method': 'GET', 'description': 'Docker information'}
-        ]
+        'service': 'devops-info-service',
+        'status': 'running',
+        'time': datetime.now(timezone.utc).isoformat()
     })
 
 @app.route('/health')
 def health_check():
-    """Эндпоинт проверки состояния сервиса"""
     return jsonify({
         'status': 'healthy',
-        'timestamp': datetime.now(timezone.utc).isoformat(),
-        'uptime_seconds': get_uptime()['seconds'],
-        'environment': 'docker' if IS_DOCKER else 'local',
-        'container_id': CONTAINER_ID
+        'uptime': get_uptime()['seconds']
     })
 
 @app.route('/docker')
 def docker_info():
-    """Эндпоинт информации о Docker окружении"""
     return jsonify({
         'is_docker': IS_DOCKER,
-        'container_id': CONTAINER_ID,
-        'docker_env': dict(os.environ) if IS_DOCKER else None,
-        'message': 'Running in Docker container' if IS_DOCKER else 'Running locally'
+        'container_id': CONTAINER_ID
     })
 
+# ----------------------------
+# ERRORS
+# ----------------------------
 @app.errorhandler(404)
 def not_found(error):
-    """Обработка ошибки 404"""
-    return jsonify({
-        'error': 'Not Found',
-        'message': 'Endpoint does not exist',
-        'available_endpoints': [
-            {'path': '/', 'method': 'GET'},
-            {'path': '/health', 'method': 'GET'},
-            {'path': '/docker', 'method': 'GET'}
-        ]
-    }), 404
+    logging.error(
+        "not_found",
+        extra={
+            "method": request.method,
+            "path": request.path,
+            "status": 404,
+            "client_ip": request.remote_addr
+        }
+    )
+    return jsonify({'error': 'Not Found'}), 404
 
+# ----------------------------
+# START
+# ----------------------------
 if __name__ == '__main__':
-    print(f"Starting DevOps Info Service on {HOST}:{PORT}")
-    print(f"Debug mode: {DEBUG}")
-    print(f"Docker environment: {IS_DOCKER}")
-    print(f"Container ID: {CONTAINER_ID}")
-    
+    logging.info(
+        "service_started",
+        extra={
+            "host": HOST,
+            "port": PORT,
+            "debug": DEBUG,
+            "docker": IS_DOCKER,
+            "container_id": CONTAINER_ID
+        }
+    )
     app.run(host=HOST, port=PORT, debug=DEBUG)
\ No newline at end of file
diff --git a/labs/monitoring/docker-compose.yml b/labs/monitoring/docker-compose.yml
new file mode 100644
index 0000000000..d5efe8db44
--- /dev/null
+++ b/labs/monitoring/docker-compose.yml
@@ -0,0 +1,96 @@
+services:
+  loki:
+    image: grafana/loki:3.0.0
+    container_name: loki
+    ports:
+      - "3100:3100"
+    command: -config.file=/etc/loki/config.yml
+    volumes:
+      - ./loki/config.yml:/etc/loki/config.yml
+      - loki-data:/loki
+    networks:
+      - logging
+    deploy:
+      resources:
+        limits:
+          cpus: '1.0'
+          memory: 1G
+        reservations:
+          cpus: '0.5'
+          memory: 512M
+    healthcheck:
+      test: ["CMD-SHELL", "wget --spider -q http://localhost:3100/ready || exit 1"]
+      interval: 10s
+      timeout: 5s
+      retries: 5
+      start_period: 10s
+
+  promtail:
+    image: grafana/promtail:3.0.0
+    container_name: promtail
+    command: -config.file=/etc/promtail/config.yml
+    volumes:
+      - ./promtail/config.yml:/etc/promtail/config.yml
+      - /var/lib/docker/containers:/var/lib/docker/containers:ro
+      - /var/run/docker.sock:/var/run/docker.sock:ro
+    ports:
+      - "9080:9080"
+    networks:
+      - logging
+    deploy:
+      resources:
+        limits:
+          cpus: '0.5'
+          memory: 512M
+
+  grafana:
+    image: grafana/grafana:12.3.1
+    container_name: grafana
+    ports:
+      - "3000:3000"
+    volumes:
+      - grafana-data:/var/lib/grafana
+    environment:
+      - GF_AUTH_ANONYMOUS_ENABLED=false
+      - GF_SECURITY_ADMIN_USER=admin
+      - GF_SECURITY_ADMIN_PASSWORD=admin123
+    networks:
+      - logging
+    deploy:
+      resources:
+        limits:
+          cpus: '1.0'
+          memory: 1G
+    healthcheck:
+      test: ["CMD-SHELL", "wget --spider -q http://localhost:3000/api/health || exit 1"]
+      interval: 10s
+      timeout: 5s
+      retries: 5
+  
+  app-python:
+    build: ../app_python
+    container_name: app-python
+    ports:
+      - "5000:5000"
+    networks:
+      - logging
+    labels:
+      logging: "promtail"
+      app: "devops-python"
+    deploy:
+      resources:
+        limits:
+          cpus: '0.5'
+          memory: 512M
+    healthcheck:
+      test: ["CMD-SHELL", "curl -f http://localhost:5000/health || exit 1"]
+      interval: 10s
+      timeout: 5s
+      retries: 5
+
+volumes:
+  loki-data:
+  grafana-data:
+
+networks:
+  logging:
\ No newline at end of file
diff --git a/labs/monitoring/docs/LAB07.md b/labs/monitoring/docs/LAB07.md
new file mode 100644
index 0000000000..763a817771
--- /dev/null
+++ b/labs/monitoring/docs/LAB07.md
@@ -0,0 +1,207 @@
+# LAB07 — Observability & Logging with Loki Stack
+
+## 1. Architecture
+
+**Components:**
+
+- **Loki 3.0** — log storage (TSDB backend)  
+- **Promtail 3.0** — log collector, scrapes Docker container logs  
+- **Grafana 12.3** — visualization and dashboards  
+- **app-python** — Flask application with JSON logging  
+
+**Diagram:**
+
+```
+
+app-python ── stdout/logs ──► Promtail ──► Loki ──► Grafana
+
+```
+
+**Network:** all services share `logging` network.
+
+---
+
+## 2. Setup Guide
+
+### Prerequisites
+
+- Docker Desktop (WSL2 backend on Windows 11)  
+- Python 3.11+  
+- VS Code  
+
+### Steps
+
+1. Project structure:
+
+```
+
+labs/
+├── app_python/      # Flask app + Dockerfile
+└── monitoring/      # docker-compose.yml + Loki/Promtail configs
+
+````
+
+2. Build and start stack:
+
+```bash
+cd labs/monitoring
+docker compose up -d --build
+````
+
+3. Verify services:
+
+```bash
+docker compose ps
+```
+
+4. Access Grafana:
+
+```
+http://localhost:3000
+```
+
+Admin credentials: `admin` / `admin123`
+
+---
+
+## 3. Configuration
+
+### docker-compose.yml
+
+* **Volumes:**
+
+  * `loki-data` — persistent Loki storage
+  * `grafana-data` — Grafana dashboards and configs
+* **Ports:**
+
+  * Loki: 3100
+  * Promtail: 9080
+  * Grafana: 3000
+  * app-python: 5000
+* **Resource limits** configured under `deploy.resources`
+* **Healthchecks** configured for all services
+
+### Loki config (`loki/config.yml`)
+
+* TSDB storage with filesystem
+* Schema v13
+* Retention period: 7 days (`168h`)
+* Compactor enabled
+
+### Promtail config (`promtail/config.yml`)
+
+* Docker service discovery enabled via `/var/run/docker.sock`
+* Relabeling: container name → `container`, label `app` → `app`
+* Clients: `http://loki:3100/loki/api/v1/push`
+
+---
+
+## 4. Application Logging
+
+### app-python
+
+* Flask application with JSON logging using `python-json-logger`
+* Logs every request and response in JSON:
+
+```json
+{
+  "asctime": "2026-03-23T07:00:00",
+  "levelname": "INFO",
+  "message": "request_completed",
+  "method": "GET",
+  "path": "/",
+  "status": 200,
+  "client_ip": "172.17.0.1",
+  "duration": 0.002
+}
+```
+
+* Error handling logs 404 and other errors
+* Logging middleware uses `before_request` and `after_request`
+
+---
+
+## 5. Dashboard
+
+**Dashboard:** `DevOps Logs Dashboard`
+**Panels:**
+
+1. **All Logs** — Logs, `{app=~"devops-.*"}`
+2. **Requests per second** — Time series, `sum by (app) (rate({app=~"devops-.*"}[1m]))`
+3. **Error Logs** — Logs, `{app=~"devops-.*"} | json | status=404`
+4. **Log Levels** — Pie / Stat, `sum by (levelname) (count_over_time({app="devops-python"} | json | __error__="" [5m]))`
+
+---
+
+## 6. Production Config
+
+* Grafana security: anonymous access disabled, admin password set
+* Resource limits: CPUs and memory configured in `docker-compose.yml`
+* Healthchecks: defined for Loki, Promtail, Grafana, and app-python
+* Volumes: persistent Loki and Grafana data
+
+---
+
+## 7. Testing
+
+### Verify logs:
+
+```bash
+curl http://localhost:5000/
+curl http://localhost:5000/health
+curl http://localhost:5000/invalid  # to generate 404
+```
+
+### Grafana queries:
+
+```logql
+{app="devops-python"}
+{app="devops-python"} | json
+{app="devops-python"} | json | method="GET"
+{app="devops-python"} | json | status=404
+```
+
+### Verify health:
+
+```bash
+docker compose ps
+```
+
+All services should show `healthy`.
+
+---
+
+## 8. Challenges
+
+* Promtail initially did not parse `app` label — fixed by `__meta_docker_container_label_app` relabel
+* JSONParserErr in Log Levels panel — fixed with `| __error__=""` filter
+* Grafana anonymous access needed to be disabled for production compliance
+
+---
+
+## 9. Evidence
+
+### 9.1 Logs from all containers
+
+* Grafana Explore query: `{job="docker"}`
+  ![All Docker logs](../screenshots/all_logs.png)
+
+### 9.2 JSON logs from app-python
+
+* Grafana Explore query: `{app="devops-python"}`
+  ![App Python JSON logs](../screenshots/app_logs.png)
+
+### 9.3 Dashboard
+
+* DevOps Logs Dashboard with 4 panels:
+
+  1. All Logs
+  2. Requests per second
+  3. Error Logs
+  4. Log Levels
+     ![DevOps Logs Dashboard](../screenshots/dashboard.png)
+
+### 9.4 Docker Compose status / Healthchecks
+
+* PowerShell command: `docker compose ps`
+  ![Docker Compose ps](../screenshots/healthchecks.png)
diff --git a/labs/monitoring/loki/config.yml b/labs/monitoring/loki/config.yml
new file mode 100644
index 0000000000..85121061c4
--- /dev/null
+++ b/labs/monitoring/loki/config.yml
@@ -0,0 +1,32 @@
+auth_enabled: false
+
+server:
+  http_listen_port: 3100
+
+common:
+  path_prefix: /loki
+  storage:
+    filesystem:
+      chunks_directory: /loki/chunks
+      rules_directory: /loki/rules
+  replication_factor: 1
+  ring:
+    kvstore:
+      store: inmemory
+
+schema_config:
+  configs:
+    - from: 2024-01-01
+      store: tsdb
+      object_store: filesystem
+      schema: v13
+      index:
+        prefix: index_
+        period: 24h
+
+limits_config:
+  retention_period: 168h
+
+compactor:
+  working_directory: /loki/compactor
+  delete_request_store: filesystem
\ No newline at end of file
diff --git a/labs/monitoring/promtail/config.yml b/labs/monitoring/promtail/config.yml
new file mode 100644
index 0000000000..32c1460baf
--- /dev/null
+++ b/labs/monitoring/promtail/config.yml
@@ -0,0 +1,27 @@
+server:
+  http_listen_port: 9080
+  grpc_listen_port: 0
+
+positions:
+  filename: /tmp/positions.yaml
+
+clients:
+  - url: http://loki:3100/loki/api/v1/push
+
+scrape_configs:
+  - job_name: docker
+    docker_sd_configs:
+      - host: unix:///var/run/docker.sock
+        refresh_interval: 5s
+
+    relabel_configs:
+      - source_labels: ['__meta_docker_container_name']
+        target_label: 'container'
+        regex: '/(.*)'
+        replacement: '$1'
+
+      - source_labels: ['__meta_docker_container_label_app']
+        target_label: 'app'
+
+      - target_label: job
+        replacement: docker
\ No newline at end of file
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