Swift: Xcode 16.2 - could not build module

ADO pipelines using codeql bundle 2.21.0 with Xcode 16.2 and the following task configuration block me to compile a swift project. It fails on could not build module related errors.

Pipeline:

 - task: AdvancedSecurity-Codeql-Init@1
  inputs:
    enableAutomaticCodeQLInstall: true
    languages: swift
    querysuite: security-and-quality
- task: Xcode@5
  displayName: 'Build and archive'
  inputs:
    configuration: 'ANONYMISED'
    sdk: iphoneos
    xcWorkspacePath: ANONYMISED.xcodeproj
    scheme: 'ANONYMISED'
    xcodeVersion: specifyPath
    xcodeDeveloperDir: '/Applications/Xcode_$(xcodeVersion).app/Contents/Developer'
    packageApp: true
    archivePath: 'output/release'
    exportPath: 'output/release'
    exportOptions: plist
    exportOptionsPlist: 'Signing/$(buildType)/exportOptions.plist'
    signingOption: default

Output:
logging.txt