iphone 3gs o2 needs to be on orange

If it was originally a contract phone, get the original owner to ring O2 and they will unlock it for free. I did this with my 3G months after I got the 4.
 
Get an O2 sim, £15 top up and then you can get it unlocked.

You can jailbreak it and unlock it but it's almost certainly the later boot loader and would be more hassle than it is worth for £15.
 
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