I solve the issue for me at least, I had some bean cans in my backpack with bad textures and when I removed them it stopped lagging. My friend had the same issue when he was near me but after I dumped the bad cans everything went back to normal but I guess it will start freezing again as soon as we encounter other players with the bad items.

Sooo check your equipment for flickering or white textures and if you or your friends has some bad items just dump them in the forest or in case of cans just open them with a can opener and the textures will reset.

Hope it helps

Update: I have now been playing with a friend for several hours and we have not experienced any lag or freezing since I dropped all items with flickering textures.

Before i dropped the items with flickering textures the game started to lag/freeze within 10 min, same for my friend as soon as he was close to me. So if you are having this issue and starting to lag within 10-20 min when you are alone then your items are probably the cause of the lag. I can recommend trying this on low pop servers to see if you are the cause of the lag, remember to stay clear of other players since they can cause you to lag if they are close.

Same for me, tested several different video settings with no visible results. The issue occurred after the latest patch (0.34), worked just fine before the patch. When I was in Berezino it was a lot worse with freeze lag every ~15s.

Resolution: 2560x1080 (21:9)
Windows 7 x64

i5 4670k
16 GB mem
Nvidia 770 GTX

Yepp it seems to be a memory leak but it also seems not to be effecting every one, it works just fine for my friend even if the game client takes up about 1.5gb mem for him as well.

I solve the issue for me at least, I had some bean cans in my backpack with bad textures and when I removed them it stopped lagging. My friend had the same issue when he was near me but after I dumped the bad cans everything went back to normal but I guess it will start freezing again as soon as we encounter other players with the bad items.

Sooo check your equipment for flickering or white textures and if you or your friends has some bad items just dump them in the forest or in case of cans just open them with a can opener and the textures will reset.

Hope it helps

Update: I have now been playing with a friend for several hours and we have not experienced any lag or freezing since I dropped all items with flickering textures.

Before i dropped the items with flickering textures the game started to lag/freeze within 10 min, same for my friend as soon as he was close to me. So if you are having this issue and starting to lag within 10-20 min when you are alone then your items are probably the cause of the lag. I can recommend trying this on low pop servers to see if you are the cause of the lag, remember to stay clear of other players since they can cause you to lag if they are close.

@blackmoonstahh
For me it was the bean cans, the textures flickered between white and normal bean can texture. I have been playing the whole weekend without any lag now since I dropped them. It might been the update to the consumables that caused the issue (you cant eat ruined food/drink since the patch), but thats just a theory.

If you dont have any flickering or white textures on items in your inventory then I suggest leaving items in a building and walk away from it a fair distance and see if it solves the issue.