Bahanneth was so pleased with the success of your mission to destroy the Orcs' weapons that he would like you to continue your efforts.
'My good ${CLASS}, your efforts were quite successful but the Orcs do not lack for numbers, and they continue to move supplies out from the depths of Moria.
'I think you should pay them another visit. We would not wish them to become complacent, after all, would we?
'Defeat the smiths that have come to replace those slain and destroy their new weapon-stores, then return here to me.'
Fanuidhol lies to the north-west of Talan Fanuidhol.
Bahanneth wants you to go into Fanuidhol and defeat some of the smiths there, as well as to destroy the stores of weapons they have forged.
Bahanneth is at Talan Fanuidhol, south-east of Fanuidhol.
You should return to Bahanneth with tidings of your success.