Your database credentials in the file engine/settings.php are not correct. The username, database name, host name etc. must be entered without the {{}}. If you entered the database credential during the installation within the browser, the entries should be correct. If you edited the settings.php manually, you need to keep the correct format in mind. You can simply fix the errors in settings.php using a text editor.
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Security issues should be reported to security@elgg.org!
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