diff --git a/conntrackt/utils.py b/conntrackt/utils.py
--- a/conntrackt/utils.py
+++ b/conntrackt/utils.py
@@ -1,11 +1,17 @@
 # Standard library imports.
 import re
+import itertools
+
+# Third-party Python library imports.
+import palette
+import pydot
 
 # Django imports.
 from django.template import Context, loader
 
 # Application imports.
 import iptables
+from .models import Communication
 
 
 def generate_entity_iptables(entity):
@@ -52,3 +58,125 @@ def generate_entity_iptables(entity):
     content = "%s%s" % (filter, nat)
 
     return content
+
+
+def get_distinct_colors(count, start=palette.Color("#AE1111")):
+    """
+    Generates a number of distinct colours, and returns them as a list. The
+    colours are generated using the HSL (hue, saturation, lightness) model,
+    where saturation and lightness is kept the same for all colours, with
+    differing hue. The hue difference between each subsequent color in the list
+    is kept the same.
+
+    Arguments:
+
+        count - Total number of colours that should be generated.
+
+        start - First colour that should be taken as a start point. All colours
+        are generated relative to this colour by increasing the hue. Should be
+        an instance of palette.Color class. Defaults to RGB colour "#AE1111".
+
+    Return:
+
+        List of distinct palette.Color instances.
+    """
+
+    # Read the HSL from provided Color.
+    hue, sat, lum = start.hsl["h"], start.hsl["s"], start.hsl["l"]
+
+    # Calculate the step increase.
+    step = 1 / float(count)
+
+    # Initiate an empty list that will store the generated colours.
+    colors = []
+
+    # Generate new colour by increasing the hue as long as we haven't generated
+    # the requested number of colours.
+    while len(colors) < count:
+        colors.append(palette.Color(hsl=(hue, sat, lum)))
+        hue += step
+
+    return colors
+
+
+def generate_project_diagram(project):
+    """
+    Generates communication diagram for provided project.
+
+    Arguments:
+
+        project - Project for which the diagram should be generated. Instance of
+        conntrackt.models.Project class.
+
+    Returns:
+
+        Dot diagram (digraph) representing all of the communications in a
+        project.
+    """
+
+    # Set-up the graph object.
+    graph = pydot.Dot(graph_name=project.name, graph_type="digraph", bgcolor="transparent", nodesep="1.5")
+    # Set-up defaults for the graph nodes.
+    graph.set_node_defaults(shape="record")
+
+    # Obtain list of all entities in a project.
+    entities = project.entity_set.all()
+
+    # Set-up dictinary that will contains clusters of entities belonging to same
+    # location.
+    clusters = {}
+
+    # Dictinoary for storing mapping between nodes and colours.
+    node_colors = {}
+
+    # Get distinct colours, one for each node/entity.
+    colors = get_distinct_colors(entities.count())
+
+    # Created nodes based on entities, and put them into correct cluster.
+    for entity in entities:
+
+        # Try to get the existing cluster based on location name.
+        location = entity.location
+        cluster_name = location.name.replace(" ", "_").lower()
+        cluster = clusters.get(cluster_name, None)
+
+        # Set-up a new cluster for location encountered for the first time.
+        if cluster is None:
+            cluster = pydot.Cluster(graph_name=cluster_name, label=location.name)
+            clusters[cluster_name] = cluster
+
+        # Fetch a colour that will be associated with the node/entity.
+        node_color = colors.pop()
+        node_colors[entity.id] = node_color.hex
+
+        # Determine whether the node label should be black or white based on brightness of node colour.
+        node_color_brightness = 1 - (node_color.rgb["r"] * 0.299 + node_color.rgb["g"] * 0.587 + node_color.rgb["b"] * 0.114)
+
+        if node_color_brightness < 0.5:
+            font_color = "black"
+        else:
+            font_color = "white"
+
+        # Finally create the node, and add it to location cluster.
+        node = pydot.Node(entity.name, style="filled", color=node_color.hex, fontcolor=font_color)
+        cluster.add_node(node)
+
+    # Add clusters to the graph.
+    for cluster in clusters.values():
+        graph.add_subgraph(cluster)
+
+    # Get all project communications.
+    communications = Communication.objects.filter(source__entity__project=project)
+
+    # Add the edges (lines) representing communications, drawing them with same
+    # colour as the source node/entity.
+    for comm in communications:
+        edge_color = node_colors[comm.source.entity.id]
+
+        label = '"%s:%s"' % (comm.protocol, str(comm.port))
+
+        edge = pydot.Edge(comm.source.entity.name, comm.destination.entity.name, label=label, color=edge_color)
+
+        graph.add_edge(edge)
+
+    return graph