On 9 April 1987, "Labuan" rescued the 11 crew of the yacht "Madame de Farge", which had run aground during the Sydney to Mooloolaba Yacht Race. During January 1988, the vessel was in Ballina, New South Wales for Bicentenary celebrations. In September, "Labuan" was in Sydney for the Bicentennial Naval Salute. "Labuan" was granted the right of Freedom of Entry to Ballina, New South Wales in 1988. At the start of 1992, the final RANR training cruise occurred, after which the vessel was docked in Cairns for a refit. On 17 August, "Labuan" was reassigned to the Permanent Naval Force, but because she was still undergoing refit, no permanent command team was assigned, and the post-refit trials were conducted under frequently-changing commanding officers.