CRU/CESCO-Antofagasta sees Reko Diq up in 2015 despite tensions

* Antofagasta says Pakistan gov keen on Reko Diq project

* Company CEO sees mine producing in 2015

SANTIAGO, April 7 (Reuters) - Antofagasta Minerals is
confident to start producing copper at its Reko Diq mine in
Pakistan by 2015 despite some friction with local authorities
who oppose development of the mine, the company's CEO Marcelo
Awad said on Wednesday.

Despite some opposition by the regional government of the
southwestern province of Baluchistan, the national Pakistani
government is keen to see the project through, Awad told
Reuters Insider on the sidelines of the Cesco/CRU copper
conference in Santiago.
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"There were a lot of rumors and a lot of negative press
earlier this year, but that was a misunderstanding of a cabinet
resolution of the Baluchistan province ... we've met the chief
minister and he's still very supportive to see the project up
and running," Awad said.

A provincial government official told Reuters in January
the project may be canceled, but Awad later said that view was
held by a small minority pressing for independence of the
southwestern province of Baluchistan. [ID:nSGE60B07R]

He said that regardless of the friction with Baluchistan
officials Antofagasta hopes to bring the Reko Diq mine on
stream in 2015.

Antofagasta (ANTO.L) and Canada's Barrick Gold Corp
(ABX.TO) each have a 37.5 percent stake in the project, with
the provincial government holding the remaining 25 percent.

"We're at this moment finalizing the feasibility study and
the impact environmental assessment. We plan to apply for a
mining license to the Paluchistan Province government during
the middle of this year," he said.

London-listed Antofagasta expects Reko Diq to produce by
itself roughly as much as the whole group churns out
currently.

Antofagasta produced 442,500 tonnes of copper last year and
expected production of 540,000 tonnes in 2010 due to the
expansion of its flagship Los Pelambres mine in Chile.

Based on 2008 production figures, a move to 1 million
tonnes would make Antofagasta the world's fourth-biggest copper
producer.
(Reporting by Eduardo Garcia; Editing by David Gregorio)