SANTIAGO, April 16 (Reuters) - Chile's state-run miner

Codelco has made progress in negotiating with local communities

over lithium mining and will keep working to win their support,

Chief Executive Ruben Alvarado said on Tuesday, a day after

several groups in the Atacama salt flat broke off talks.

The world's top copper producer has been in dialogue with

indigenous groups on the details of a new, state-mandated joint

venture in the Atacama salt flat with Chile's SQM, one of two

lithium miners in the country.

However, the four largest indigenous groups in the area on

Monday said they were pulling out of those talks, citing

dissatisfaction with Codelco and SQM, as well as a difference of

opinion with other indigenous groups.

Asked about the move, Alvarado told reporters at the CRU

World Copper Conference that he recognized the complexity of the

negotiations, which he said touched on historical issues.

Many indigenous communities have long decried a lack of

investment from the mining industry and said they have felt

sidelined by the government.

The government last year promised to host a dialogue with

the Atacama Indigenous Council, aiming to reach a consensus over

lithium mining in the salt flat.

"We are making progress in that and we are not going to stop

working on all kinds of collaboration strategies with the

communities," Alvarado said, following a panel discussion

alongside other top copper industry executives in which he

emphasized Codelco's commitment to social issues.

"This case will not be the exception."

Codelco's relationship with local communities is being put

to the test as Chile, the No. 2 lithium producer, aims to impose

more state control over the metal needed for batteries used to

power the world's growing electric vehicle fleet.

In an interview with Reuters on Monday, Codelco Chairman

Maximo Pacheco said he had visited the Atacama salt flat in

recent weeks to speak directly with local communities, who he

said were concerned over the water supply in the area.

The groups that broke off talks also took part in December

in a protest over the Codelco-SQM deal, saying they felt they

were not taken into account in the negotiations. They staged a

blockade of one of the roads in the Atacama salt flat, snarling

traffic and forcing SQM to halt operations.