Error means that plugin is not in directory Xcode is looking for static libraries. You can add it in Xcode’s “Build Settings” Library Search Path in project properties, but easier, imo, is to open file CoronaNative.xcconfig, and edit line 7
From
LIBRARY_SEARCH_PATHS = $(inherited) “$(CORONA_ROOT)/Corona/ios/lib”
to
LIBRARY_SEARCH_PATHS = $(inherited) “$(CORONA_ROOT)/Corona/ios/lib” “$(PROJECT_DIR)”
And put your library next to your project.
Also, latest build has Self-Hosted plugins activated for everyone. So now it is really matter of hosting simple file to get it working in Simulator, without having to resort to native