Many opam packages have their source stored in a compress tarball, usually compressed with gzip or bzip2. When dune installs a package it uses tar (or bsdtar in some cases) to extract the archive, decompressing it first with the relevant tool if necessary (gunzip or bunzip2). If the relevant tool is not installed, the decompression will fail, however the details of the failure will not be shown to the user. It would be more helpful if the error message indicated the nature of the problem and suggested installing the relevant (de)compression tool.