British mobile virtual network operator (MVNO) Lycamobile has announced a new roaming agreement with O2 UK in a move the latter hopes will further expand its user base. Under the deal, full financial details of which were not revealed, Lycamobile plans to launch pay-as-you-go SIM cards tied to O2’s network in the last three months of 2009. Commenting on the deal, Milind Kangle, Lycamobile’s CEO, said: ‘We are delighted to announce the signing of this deal with O2. They have demonstrated a dedicated approach to this partnership and our deal will accelerate the success that the Lycamobile brand has already had in the UK. Thanks to the technical architecture Lycamobile has developed, we will be providing an enhanced low-cost, high-quality mobile service to our UK customers.’ Earlier this month CommsUpdate reported that the MVNO had achieved its first-year subscriber target, with Lycamobile revealing it had signed up 1.2 million subscribers.