Hi Michael
I used to fish Peel Island in my 4.3m Clark Abalone, often I was going out when every other boat was coming home (seems irresponsible now that I am older and wiser). I have never fished Mud but given most of the bay is shallow I hope the following helps.
In a small boat in rough seas slower is better, no point beating you, your crew and gear to death, go as slow as feels safe and comfortable even if that means getting off the plane and ploughing home. A wise man once told me that a good skipper handles his boat for his or hers passenger safety and comfort not for speed.
The best way to handle a sea depends on your hull but don’t be afraid to triangulate your way home, different hulls handle seas in their own way so find what’s best for yours, if its fighting you or pitching and rolling try another angle of attack.
Have plenty of fuel up your sleeve, I used to use approximately twice the amount of fuel heading back to Vic. Point on a rough night as I would on a good night.
Keep a good watch on the water, you may be in a protected spot and not be exposed to the wind but watch exposed water to see what it is doing.
If you think the situation is getting dangerous or you don't feel in control never delay getting life jackets on and calling for help, better to be safe than sorry!
I hope this if of some help to you but I am sure there are others in the newsgroup better qualified to offer you some advice.
All the best
POC
P.S. I was up at Lucinda in October and coming in past the sugar jetty reminded me of the paddock between Peel and Vic Point.