use
\usepackage{libertine}
instead. With a current TeXLive or MiKTeX it should work. In both cases you can update your system if it is not up-to-date with the package manager. If you are using the TL from Ubuntu or another Linux distro then update the package libertine from ctan, eg: http://ftp.fernuni-hagen.de/ftp-dir/pub/mirrors/www.ctan.org/fonts/libertine.zip (not all mirrors provide a zip). After installing move the old libertine-legacy and libertineotf to /tmp or elsewhere. Then run sudo texhash and sudo updmap --enable Map=libertine.map
Alternetively you can use Libertine without using a package:
\documentclass{article}
\usepackage{fontspec}
\setmainfont%[SmallCapsFeatures={Letters=SmallCaps}]
{Linux Libertine O}
\begin{document}
...
then you also get bold Small Caps.

minimaldocument class first, but\hugedidn't work, so I settled withstandaloneinstead. – mSSM Nov 25 '12 at 17:19minimalfor minimals:). As long as you're not providing an image, I'd even choosearticleoverstandalone, since the former is more basic. – doncherry Nov 25 '12 at 17:21