North West Broadcasting has been awarded a contract for a radio service covering Sligo, north Leitrim and south Donegal.

The Broadcasting Authority of Ireland said it had granted the company, trading as Ocean FM, a licence in principle to deliver a local, broad-format service to the area.

It was one of two bidders that were considered at oral presentations earlier in the year.

The BAI said it would now proceed with contract negotiations and would issue further details about the contract in the coming months.