Newcrest Mining has partially restarted operations at its Cadia East mine in NSW, following the gold and copper mine being shut down after an earthquake in April.
The gold miner says it has restarted ore extraction on a test basis after authorities lifted a prohibition notice and all remediation work was completed at the mine's underground Panel Cave 2 .
It hopes to resume normal operations in that section of the mine after two to four weeks of testing.
The company says remediation work at Panel Cave 1 is expected to be completed in the September quarter.
Cadia - Newcrest's biggest and lowest-cost mine - was struck by a magnitude 4.3 earthquake in central west NSW in early April, resulting in operations being suspended.
The company has previously said damage to the underground mine's infrastructure was minimal, with most of rehabilitation work increasing ground support capacity.
Following the quake, Newcrest lowered production guidance for the current financial year to below 730,000 ounces, from previous guidance of 730,000 to 820,000 ounces.
In May the company cut its 2017/18 estimate for Cadia's production to 650,000 to 750,000 ounces of gold.
Cadia accounts for about 70 per cent of earnings for the gold miner.
Royal Bank of Canada analyst Paul Hissey said he expected to see the market reaction once the impact had been quantified.
"As we lead into the June quarterly production report we anticipate potential for a soft market reaction, when the full cost implications of the disruptions are quantified and the market is reminded of this significant disruption," he said on Wednesday.
At 1428 AEST, Newcrest shares were down 2.4 per cent at $20.50 in a firm Australian market.
