You can install Novell Open Enterprise Server (OES) 11 as a VM host server for either the Xen or KVM virtualization services included with SLES 11. To understand why you might want your VM host server to have OES 11 installed, see Why Install OES Services on Your VM Host?
in the OES 11 SP3: Planning and Implementation Guide.
IMPORTANT:Only Xen supports NetWare 6.5 SP8 running as a VM guest server. KVM does not.
Both Xen and KVM support OES 11 running as a VM guest server.