setup webdav with nginx on Ubuntu 12.04

I’m trying to setup webdav access on my Ghost droplet; I’ve read all the information I can find, and done the following:

1. installed nginx-extras
2. created a separate directory for dav in /var/www/dav/, and set permissions to www-data
3. added a new server directive to the nginx config; it looks like this:

server { listen 80; server_name site.com www.site.com;

client_max_body_size 10M;

location / {
        proxy_pass http://localhost:2368/;
        proxy_set_header Host $host;
        proxy_buffering off;
}

}

server { listen 8080; server_name site.com;

client_max_body_size 20M;

location / { 
    dav_methods PUT DELETE MKCOL COPY MOVE;
    dav_ext_methods PROPFIND OPTIONS;
    dav_access group:rw all:r;

    root /var/www/dav/;
    auth_basic "Restricted";
    auth_basic_user_file /var/www/dav/.htpasswd;

}

}

4. setup basic http auth with htpasswd

I’ve checked this setup from a console on the droplet, using cadaver; the authentication works, and a test upload worked.

But trying to connect from my mac (using Cyberduck, Firefox, mount_webdav) all fail. Can anyone help? What am I doing wrong?