non-static variable this cannot be referenced from a static context??

[Slippy]

The code below is returning the following error :

"non-static variable this cannot be referenced from a static context" on line 25 (i have added notation to the code below to show where the error is...

all help will be greatly appreciated, i am new to GUI development, and this has me stumped.

import java.awt.*;
import java.awt.event.*;

import javax.swing.*;
import javax.swing.event.*;


public class BinarySearchTreeApp
{
	public static void main (String[]args)
	{
		SwingUtilities.invokeLater(new Runnable()
		{
			public void run()
			{
				createAndShowGUI();}});}
				
	private static void createAndShowGUI()
	{
		JFrame Frame1 = new JFrame("My Application");
		
		Frame1.setDefaultCloseOperation(JFrame.EXIT_ON_CLOSE);
		Frame1.setSize(500,500);
		Frame1.setVisible(true);
		Frame1.add(new MyPanel()); <----ERROR IS ON THIS LINE!
	}
	
	class MyPanel extends JPanel
	{
		public MyPanel()
		{
			setBorder(BorderFactory.createLineBorder(Color.black));
		}
		
		public void paintComponent(Graphics g)
		{
			super.paintComponent(g);
		}
	}
}