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Prepare and Sear Chicken: Start by preheating your oven to 375°F (190°C). Season both sides of the chicken breasts well with salt and pepper. Heat the olive oil or butter in a large ovenproof skillet over medium-high heat. When hot, add the chicken and cook for 4-5 minutes per side until it gets a nice golden brown color. Then, remove the chicken from the skillet and set aside.
Cook the Mushrooms: In the same skillet, add the sliced mushrooms and sauté them until they’re soft and lightly browned, about 5 minutes. The mushrooms will soak up any leftover flavorful bits from the chicken.
Make the Sauce and Assemble: While the mushrooms cook, mix together the mayonnaise, Dijon mustard, Worcestershire sauce, and garlic powder in a small bowl. Return the chicken breasts on top of the mushrooms in the skillet. Spread the sauce evenly over each piece of chicken. Then sprinkle the crumbled bacon over the sauce, followed by the shredded cheddar cheese.
Bake and Serve: Place the skillet into the preheated oven and bake for about 10-15 minutes until the chicken is cooked through (no longer pink inside) and the cheese is melted and bubbly. Once done, take the skillet out and garnish with fresh chopped parsley. Serve your Alice Springs Chicken hot, with sides like roasted potatoes and steamed broccoli or a crisp salad for a complete meal.