Step 1

To make the stock, shell the prawns and place the heads in a saucepan; reserve the meat. Add 750ml (3 cups) water and a bay leaf and bring to the boil. Reduce heat to low and simmer for 10 minutes, then strain and reserve the stock. Discard solids.

Step 2

Place mussels and wine in a saucepan, cover and cook over medium heat, checking every couple of minutes and removing mussels as they open. (Discard any unopened mussels.) Remove three-quarters of the mussels from their shells, discarding shells and their liquid. (Reserve remaining mussels in their shells to garnish.)

Step 3

Heat a heavy-based pan over medium heat. Add saffron and dry-roast until fragrant. Add the reserved stock, cover and set aside to steep.

Step 4

Heat the olive oil in a pan over medium heat. Add the onion, garlic and capsicum and saute for 3-4 minutes until the onion has softened. Add rice and saffron stock, reduce heat to low, cover and cook for 20 minutes. Check and cook longer if necessary until rice is cooked and most of the liquid is absorbed. Add the squid, reserved prawns and the herbs and cook for 5 minutes until seafood is just cooked. Add the mussels and serve hot, garnished with the reserved mussels in the shells.