The company said it is confident that the blast issues will be resolved in the third quarter.

However, along with the supply disruption in the first quarter the company has been forced to reduce its 2011 production guidance to 200,000-210,000 ounces, at cash cost of about $550 an ounce, from 250,000-290,000 ounces.

It produced 47,991 ounces in the second quarter, taking half-year output to just over 93,000 ounces.

Second-quarter operating profit rose to $48.2 million from $19.1 million in the year-earlier quarter on higher production and gold prices.

Copyright Reuters, 2011