The barrel is just a key-operated lock mechanism that works two switches - one switch - the first position -  is used to energise all the circuits via relays when the ignition is tuned on - that seems to be operating from what you say.
The second switch - for starting the engine - operates the starter solenoid to energise the starter motor - that too is operating.
When the engine starts - and for some reason - the relay that allows the heater fan to run drops out. 
I would suspect a defective relay - I just guess - I am not a motor engineer.
                
 Good Luck...
                
 January 2017