I have the same problem
Do you happen to be using WSL? When I first did it I cloned using Ubuntu in WSL. I recloned just in powershell and it is working now.
I just confirmed it actually. I did a fresh clone in WSL, then tried to run compile.bat from Powershell and it failed with my original error. Clone it from Windows proper (using git for windows) and it compiles fine.
EDIT: Ok I'm getting a grasp for what is going on here. It has to do with case sensitivity. lib_coff/sglarea.o doesn't actually exist if the filesystem is case sensitive. The actual path is LIB_COFF/SGLAREA.O
Windows filesystem is case insensitive, but linux is case sensitive. Here is where it gets weird. Cloning using git in WSL into a NTFS filesystem somehow applies some case sensitivity to the filetree, so running make from Windows for some reason now cares about case.
The global fix would be to make sure that the Makefiles reference the correct case for every file.