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Yes, it's at the end of the island near a group of rocks. There are a bunch of crabs there, so kill them off first, or have a friend come to distract them while you dig. If you don't get it the first time, wait for it to reset and try again. I had to dig a few times before I got it.
On any dig for treasure quest, if the box comes up saying "searching for ... not found" that means it's the right spot but you didn't get it yet. If it says "no quest items were found" that means it's the wrong dig spot.
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