The location area planning is to assign cells to the location areas of a wireless communication network in an optimum manner. The two important cost components are cost of location update and cost of paging that are of conflicting in nature; i.e., minimizing the registration cost might increase the search cost. Hence, it is important to find a compromise between the location update and paging operations such that the cost of mobile terminal location tracking cost is a minimum. The complete mobile network is divided into location areas. Each location area consists of a group of cells. In fact this is shown to be an NP-complete problem in an earlier study. In this paper, we use an ant colony optimization method to obtain the best/optimal group of cells for a given a network.