UPDATE 1-Tongaat FY headline earnings at 583 mln rand

* Says FY headline earnings R583 million

* FY profit from operations R1.132 billion

* Declares annual dividend of 310 cents per share. (Adds detail)

JOHANNESBURG, Feb 23 (Reuters) - South African sugar group Tongaat-Hulett's (TONJ.J) full-year headline earnings rose to 583 million rand ($57 million) from 61 million, boosted by higher international prices, the company said on Monday.

The company declared an annual dividend of 310 cents per share.

The company said profit from operations rose 35 percent to 1.13 billion rand, with sugar operations contributing 606 million rand compared with 360 million the previous year.

Tongaat Hulett's net debt increased to 2.356 billion rand from 991 million rand at the end of 2007, with significant capital expenditure on its Mozambique expansion and investment in sugar cane growing crops.

The company said it expects sugar production in Mozambique to rise to the 300,000 tonne per annum level in 2009 and said it would likely benefit from preferential access to the European Union market at premium prices.

Tongaat's cash inflow from the Mozambican operations will start in the latter part of 2009 and early 2010 following the expected cash absorption in the expansion, it said. (Reporting by Muchena Zigomo)