diff --git a/test/blackbox-tests/dune.inc b/test/blackbox-tests/dune.inc
index fe593bba..c41db9a7 100644
--- a/test/blackbox-tests/dune.inc
+++ b/test/blackbox-tests/dune.inc
@@ -448,6 +448,14 @@
    test-cases/misc
    (progn (run %{exe:cram.exe} -test run.t) (diff? run.t run.t.corrected)))))
 
+(alias
+ (name missing-loc-run)
+ (deps (package dune) (source_tree test-cases/missing-loc-run))
+ (action
+  (chdir
+   test-cases/missing-loc-run
+   (progn (run %{exe:cram.exe} -test run.t) (diff? run.t run.t.corrected)))))
+
 (alias
  (name multi-dir)
  (deps (package dune) (source_tree test-cases/multi-dir))
@@ -789,6 +797,7 @@
   (alias merlin-tests)
   (alias meta-gen)
   (alias misc)
+  (alias missing-loc-run)
   (alias multi-dir)
   (alias multiple-private-libs)
   (alias no-installable-mode)
@@ -878,6 +887,7 @@
   (alias merlin-tests)
   (alias meta-gen)
   (alias misc)
+  (alias missing-loc-run)
   (alias multi-dir)
   (alias no-installable-mode)
   (alias no-name-field)
diff --git a/test/blackbox-tests/test-cases/missing-loc-run/precise-path/dune b/test/blackbox-tests/test-cases/missing-loc-run/precise-path/dune
new file mode 100644
index 00000000..02b53eb9
--- /dev/null
+++ b/test/blackbox-tests/test-cases/missing-loc-run/precise-path/dune
@@ -0,0 +1,3 @@
+(alias
+ (name runtest)
+ (action (run ./foo.exe)))
\ No newline at end of file
diff --git a/test/blackbox-tests/test-cases/missing-loc-run/precise-path/dune-project b/test/blackbox-tests/test-cases/missing-loc-run/precise-path/dune-project
new file mode 100644
index 00000000..6687faf2
--- /dev/null
+++ b/test/blackbox-tests/test-cases/missing-loc-run/precise-path/dune-project
@@ -0,0 +1 @@
+(lang dune 1.1)
\ No newline at end of file
diff --git a/test/blackbox-tests/test-cases/missing-loc-run/run.t b/test/blackbox-tests/test-cases/missing-loc-run/run.t
new file mode 100644
index 00000000..a381f57a
--- /dev/null
+++ b/test/blackbox-tests/test-cases/missing-loc-run/run.t
@@ -0,0 +1,13 @@
+Exact path provided by the user:
+
+  $ dune runtest --root precise-path
+  Entering directory 'precise-path'
+  No rule found for foo.exe
+  [1]
+
+Path that needs to be searched:
+
+  $ dune runtest --root search-path
+  Entering directory 'search-path'
+  Error: Program foo-does-not-exist not found in the tree or in PATH (context: default)
+  [1]
diff --git a/test/blackbox-tests/test-cases/missing-loc-run/search-path/dune b/test/blackbox-tests/test-cases/missing-loc-run/search-path/dune
new file mode 100644
index 00000000..27a97b63
--- /dev/null
+++ b/test/blackbox-tests/test-cases/missing-loc-run/search-path/dune
@@ -0,0 +1,3 @@
+(alias
+ (name runtest)
+ (action (run foo-does-not-exist)))
\ No newline at end of file
diff --git a/test/blackbox-tests/test-cases/missing-loc-run/search-path/dune-project b/test/blackbox-tests/test-cases/missing-loc-run/search-path/dune-project
new file mode 100644
index 00000000..6687faf2
--- /dev/null
+++ b/test/blackbox-tests/test-cases/missing-loc-run/search-path/dune-project
@@ -0,0 +1 @@
+(lang dune 1.1)
\ No newline at end of file