We present a preconditioning method for the iterative solution of large spa
rse systems of equations. The preconditioner is based on ideas both from IL
U preconditioning and from multigrid. The resulting preconditioning techniq
ue requires the matrix only. A multilevel structure is obtained by using ma
ximal independent sets for graph coarsening. A Schur complement approximati
on is constructed using a sequence of point-Gaussian elimination steps. The
resulting preconditioner has a transparent modular structure similar to th
e algorithmic structure of a multigrid V-cycle.