Guerrero, who underwent plastic surgery to reattach the upper part of his ear, will remain hospitalized in Salt Lake City for several days before continuing his recovery in Los Angeles.
Kasten said the club does not yet know how long Guerrero will be sidelined.
"Alex feels awful about the incident and the fact that he was doing so well, had turned the corner," Kasten said. "Before Miguel left, he was distraught about it, but I'm not going to speak for him."
In a 7-4 Albuquerque loss at Salt Lake City on Tuesday, Olivo had to be restrained from going after Guerrero on the mound during a pitching change, apparently angry that the shortstop failed to tag out a basestealer.
The 35-year-old Olivo, a 10-year Major League veteran, then reportedly punched Guerrero in the dugout the next inning and, while being restrained by teammates, lunged at and bit a chuck of Guerrero's ear off.
Olivo, who was on the club's 40-man Major League roster, was optioned back to Albuquerque last week when starting catcher A.J. Ellis was activated off the disabled list following right knee surgery.
Olivo had a June 1 out clause in his contract and had asked for his release at the end of Spring Training when he failed to make the Major League club.
Ken Gurnick is a reporter for MLB.com. This story was not subject to the approval of Major League Baseball or its clubs.