Invoke-PnPSiteTemplate - Object reference not set to an instance of an object

[diver7]

If the site template file (pnp, xml) exists in a sub-folder in a SharePoint document library, Invoke-PnPSiteTemplate will throw the below error.

Invoke-PnPSiteTemplate -Path "https://domain.sharepoint.com/sites/ABCSite/SiteAssets/Templates/template.pnp"

Invoke-PnPSiteTemplate: untitled:Untitled-2:6:1
Line |
6 | Invoke-PnPSiteTemplate -Path "https://domain.sharepoint.com/sites/ …
| ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
| Object reference not set to an instance of an object.

Debug Trace Log:

pwsh Information: 0 : 2024-02-29 08:30:26.5905	[SharePointConnector]	[0]	[Debug]	GetFileStream('template.pnp','siteassets')	0ms	
pwsh Error: 0 : 2024-02-29 08:30:26.9198	[PnP.Framework]	[0]	[Error]	ExecuteQuery threw following exception: Microsoft.SharePoint.Client.ServerException: File Not Found.
   at Microsoft.SharePoint.Client.ClientRequest.ProcessResponseStream(Stream responseStream)
   at Microsoft.SharePoint.Client.ClientRequest.ProcessResponse()
   at Microsoft.SharePoint.Client.ClientRequest.ExecuteQueryToServerAsync(ChunkStringBuilder sb)
   at Microsoft.SharePoint.Client.ClientRequest.ExecuteQueryAsync()
   at Microsoft.SharePoint.Client.ClientRuntimeContext.ExecuteQueryAsync()
   at Microsoft.SharePoint.Client.ClientContext.ExecuteQueryAsync()
   at Microsoft.SharePoint.Client.ClientContextExtensions.ExecuteQueryImplementation(ClientRuntimeContext clientContext, Int32 retryCount, String userAgent)
ServerErrorCode: -2147024894
ServerErrorTypeName: System.IO.FileNotFoundException
ServerErrorTraceCorrelationId: 2e7710a1-00b1-4000-ee65-8be8fecb589b
ServerErrorValue: 
ServerErrorDetails: 
.	0ms	
pwsh Error: 0 : 2024-02-29 08:30:26.9207	[PnP.Framework]	[0]	[Error]	File template.pnp not found in site https://domain.sharepoint.com/sites/ABCSite, library  siteassets. Exception = File Not Found.	0ms

If the template file is moved to the root of the document library the PnP command runs fine.

Expected behavior

I should be able to place the template file in any sub-folder of the document library

What is the version of the Cmdlet module you are running?

PnP.PowerShell version 2.3.0