"Oviedo is a city in the north of Spain" was missing from the translation?
Freeform Writing Exercise A1
There's nothing missing from the translation, the hint is just telling you that Oviedo is a town and its location as it's not one of the very well-known towns like Barcelona, Seville or Madrid etc. If you don't know it's a town/city it's not easy to know what preposition to use!
I've added a note tag to make this clear.
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