diff --git a/HISTORY.rst b/HISTORY.rst
index 175a342b..21373ada 100644
--- a/HISTORY.rst
+++ b/HISTORY.rst
@@ -18,10 +18,17 @@ PlatformIO 3.0
 3.5.4 (2018-??-??)
 ~~~~~~~~~~~~~~~~~~
 
-* Don't export ``CPPPATH`` of project dependent libraries to frameworks
+* Improved removing of default build flags using `build_unflags <http://docs.platformio.org/page/projectconf/section_env_build.html#build-unflags>`__ option
+  (`issue #1712 <https://github.com/platformio/platformio-core/issues/1712>`_)
+* Export ``LIBS``, ``LIBPATH``, and ``LINKFLAGS`` data from project dependent
+  libraries to the global build environment
+* Don't export ``CPPPATH`` data of project dependent libraries to framework's
+  build environment
   (`issue #1665 <https://github.com/platformio/platformio-core/issues/1665>`_)
 * Handle "architectures" data from "library.properties" manifest in
   `lib_compat_mode = strict <http://docs.platformio.org/en/page/librarymanager/ldf.html#compatibility-mode>`__
+* Replaced conflicted "env" pattern by "sysenv" for `"platformio.ini" Dynamic Variables" <http://docs.platformio.org/page/projectconf/dynamic_variables.html>`__
+  (`issue #1705 <https://github.com/platformio/platformio-core/issues/1705>`_)
 * Removed "date&time" when processing project with `platformio run <http://docs.platformio.org/page/userguide/cmd_run.html>`__ command
   (`issue #1343 <https://github.com/platformio/platformio-core/issues/1343>`_)
 * Fixed issue with invalid LD script if path contains space
diff --git a/docs b/docs
index 7b0030fc..ae2968e5 160000
--- a/docs
+++ b/docs
@@ -1 +1 @@
-Subproject commit 7b0030fc0471f86c7e6e25e789bd44c9aac8eef5
+Subproject commit ae2968e52ac2bc86ec7e7fe67073ceb37c47f577
diff --git a/platformio/builder/tools/piolib.py b/platformio/builder/tools/piolib.py
index 2523287e..787b3bdf 100644
--- a/platformio/builder/tools/piolib.py
+++ b/platformio/builder/tools/piolib.py
@@ -824,7 +824,7 @@ def GetLibBuilders(env):  # pylint: disable=too-many-branches
     return items
 
 
-def BuildProjectLibraries(env):
+def ConfigureProjectLibBuilder(env):
 
     def correct_found_libs(lib_builders):
         # build full dependency graph
@@ -879,8 +879,7 @@ def BuildProjectLibraries(env):
     else:
         print "No dependencies"
 
-    libs = project.build()
-    return dict(LIBS=libs, CPPPATH=project.env.get("CPPPATH"))
+    return project
 
 
 def exists(_):
@@ -889,5 +888,5 @@ def exists(_):
 
 def generate(env):
     env.AddMethod(GetLibBuilders)
-    env.AddMethod(BuildProjectLibraries)
+    env.AddMethod(ConfigureProjectLibBuilder)
     return env
diff --git a/platformio/builder/tools/platformio.py b/platformio/builder/tools/platformio.py
index 07d4ad8f..132ad1e2 100644
--- a/platformio/builder/tools/platformio.py
+++ b/platformio/builder/tools/platformio.py
@@ -42,9 +42,16 @@ def scons_patched_match_splitext(path, suffixes=None):
 
 
 def _build_project_deps(env):
-    deps = env.BuildProjectLibraries()
-    # prepend dependent libs before built-in
-    env.Prepend(LIBS=deps['LIBS'])
+    project_lib_builder = env.ConfigureProjectLibBuilder()
+
+    # append project libs to the beginning of list
+    env.Prepend(LIBS=project_lib_builder.build())
+    # append extra linker related options from libs
+    env.AppendUnique(
+        **{
+            key: project_lib_builder.env.get(key)
+            for key in ("LIBS", "LIBPATH", "LINKFLAGS")
+        })
 
     if "__test" in COMMAND_LINE_TARGETS:
         env.ProcessTest()
@@ -57,7 +64,7 @@ def _build_project_deps(env):
                              env.get("SRC_FILTER"))
 
     # CPPPATH from dependencies
-    projenv.PrependUnique(CPPPATH=deps['CPPPATH'])
+    projenv.PrependUnique(CPPPATH=project_lib_builder.env.get("CPPPATH"))
     # extra build flags from `platformio.ini`
     projenv.ProcessFlags(env.get("SRC_BUILD_FLAGS"))
 
@@ -184,7 +191,18 @@ def ProcessFlags(env, flags):  # pylint: disable=too-many-branches
 def ProcessUnFlags(env, flags):
     if not flags:
         return
-    for key, unflags in env.ParseFlagsExtended(flags).items():
+    parsed = env.ParseFlagsExtended(flags)
+
+    # get all flags and copy them to each "*FLAGS" variable
+    all_flags = []
+    for key, unflags in parsed.items():
+        if key.endswith("FLAGS"):
+            all_flags.extend(unflags)
+    for key, unflags in parsed.items():
+        if key.endswith("FLAGS"):
+            parsed[key].extend(all_flags)
+
+    for key, unflags in parsed.items():
         for unflag in unflags:
             for current in env.get(key, []):
                 conditions = [
diff --git a/platformio/util.py b/platformio/util.py
index 98c3cbc1..eab6512f 100644
--- a/platformio/util.py
+++ b/platformio/util.py
@@ -63,7 +63,13 @@ class ProjectConfig(ConfigParser.ConfigParser):
 
     def _re_sub_handler(self, match):
         section, option = match.group(1), match.group(2)
-        if section == "env" and not self.has_section(section):
+        if section in ("env", "sysenv") and not self.has_section(section):
+            if section == "env":
+                click.secho(
+                    "Warning! Access to system environment variable via "
+                    "`${{env.{0}}}` is deprecated. Please use "
+                    "`${{sysenv.{0}}}` instead".format(option),
+                    fg="yellow")
             return os.getenv(option)
         return self.get(section, option)