It really doesn't look that bad. If you're using an air die grinder get a seperate regulator which will cut the speed down some. If it's an electric one check out Harbor Freight for a router control so you can control the speed better.
You may be able to use the felpro stage I gasket if the standard one won't work so you still may be ok. Put the gasket on it and see what it looks like but while it's there mark the opening so you knw where your limits need to be.