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You’ll need to install a version of Nginx that includes passenger. This can mean compiling Nginx yourself or using a binary package that includes passenger support.
The following guide should provide you with a simplified way of installing Ruby, Passenger and NGINX with minimal hassle.
I had same problem after upgrading Ubuntu to 16… solution was to fix paths in file:
sudo vi /lib/systemd/system/nginx.service
to: “/opt/nginx/sbin/nginx”
and after “systemctl daemon-reload” everthing worked