What it means
Aussie all-rounder for addressing someone: your friend, a random stranger, or the bloke who's just being a pain. It can land warm, jokey, flat, or straight-up warning depending on the tone. People toss it into a sentence to soften things, fill space, or put a bit of edge on it. In Australia it's everywhere.
Usage examples
"Oi mate, that’s my park. Yeah right mate, I had the blinker on. Sure ya did. No worries mate, I’ll squeeze in round back."
"Cheers, mate, I owe you one."
"Oi mate, you've left your lights on."
"You right, mate, or just having a shocker?"
"Listen, mate, if you're gonna queue-jump, at least don't act smug about it."
Where it comes from
Mate comes from Middle Low German maat, meaning a companion, especially one you shared food with. It's linked to the same root behind meat in its old sense of food. English picked it up for a fellow worker or companion, then Australian English turned it into the everyday catch-all form of address.