So the claim is they were provocatively close to Australian waters, not in Australian waters, and the waters that they were close to are the EEZ which it’s generally regarded that they are allowed to be in anyway?

All States may conduct military activities in the EEZ for peaceful purposes, including a foreign State, provided that the operating State has due regard to the rights and duties of other States.

If this is something other then fear mongering then I must be missing something. Admittedly I can only read the first two paragraphs.