She underwent treatment earlier this year for cancer, but has recently been spotted playing sports and painting, E! Online reported Saturday.
The new cancer was found just three months after Fawcett was given the all clear, but luckily the cancer has not spread, said "Chasing Farrah" executive producer Craig Nevius.
He added that "physically, she is doing great," and said Fawcett has been spending time with longtime companion Ryan O'Neal, who, along with their 22-year-old son Redmond, stayed by her side throughout the last round of treatment.
"Throughout the journey of my life, I have maintained a strong faith in the power of the human spirit to overcome adversity," Fawcett said in October when faced with her first diagnosis. "I deeply believe in one's own positive will to overcome even the most daunting challenges."
She reportedly has not decided on treatment options, which include having a small metal "seed," planted that will emit radiation, to destroy the new cancer.
Celebrity Families of 2014 [PHOTOS]