Buena Vista Intl. has picked up Latin American distribution rights to Chilean helmer Jorge Olguin’s fantasy horror pic, “Caleuche.”

Long-gestating pic is shooting on the Chilean island of Chiloe, whose myths and legends inspired the story penned by Olguin and Carolina Garcia.

Pic stars Brazilian thesp Giselle Itie (“The Expendables”), Catalina Saavedra (“The Maid”) and Marcelo Alonso (“Profugos,” HBO).

Itie plays a terminally ill marine biologist, based in Boston, who keep a promise to her father to visit the island of her ancestors, where she discovers her family’s links to a ghost ship, Caleuche.

Co-produced by ChileFilms and Olguin Films, pic will feature CGI special effects plus full-size mock-ups of a tall ship that will be built at a hangar in Chile’s capital, Santiago, where interiors will be shot.

It’s budgeted at $2 million an above average budget for Chile, per Olguin, adding, “We can optimize this amount to make a film that would cost $20 million to $30 million in the U.S.”

BVI has the option to buy worldwide rights.