Problem solved. The namespaced paths generated by engine.path need to be modified by prefixing them with the applications base path. I use the apache RewriteRule for this:
RewriteRule ^/engine/?(.*) /app/engine/$1 [R] -- You received this message because you are subscribed to the Google Groups "Ruby on Rails: Talk" group. To unsubscribe from this group and stop receiving emails from it, send an email to rubyonrails-talk+unsubscr...@googlegroups.com. To post to this group, send email to rubyonrails-talk@googlegroups.com. To view this discussion on the web visit https://groups.google.com/d/msgid/rubyonrails-talk/2fbc3d1f-0232-40c0-bc97-0c5afc749fa4%40googlegroups.com. For more options, visit https://groups.google.com/groups/opt_out.