"Loch Fada" returned to service in June 1962 assigned to the 3rd Frigate Squadron of the Eastern Fleet. She arrived at Colombo in October and was deployed in the Indian Ocean, calling at Diego Garcia and Malé, Maldives. From December until February 1963 she was deployed off Borneo to support of military operations during the Indonesia–Malaysia confrontation (the "Konfrontasi"). In March and April 1963 "Loch Fada" was deployed for a patrol in Pacific, calling at Manus in the Admiralty Islands, Suva in Fiji, Phoenix Island and Guam, before calling at Hong Kong and then several ports in Japan. She returned to Borneo in June to support military operations and on piracy patrol for the rest of the year.