Lake Urana is a large shallow intermittent lake in a depression at the end of the drainage basin of Billabong, Coonong and Urangeline creeks. It fills every ten to 20 years and retains water for several years. The nature reserve lies on the western shore of the lake, and supports a woodland of yellow box and white cypress pine.

Shrubs in the reserve include thorny saltbush, ruby saltbush, western golden wattle, emu bush and black cottonbush. The ground cover consists of a diverse collection of grasses and herbs, with over 70 species recorded including wiregrass, speargrass and several lilies such as the nodding chocolate-lily.

On the lake shore is a narrow woodland of river red gum consisting of some large trees and younger regrowth. Following floods, a number of grasses and short lived herbs such as weeping love grass, sneezeweed, sedge and yellow buttons establish on the lake bed.

Eastern grey kangaroos are present in the reserve, and the 37 observed bird species include the red-rumped parrot, brown treecreeper, striated pardalote, spiny-cheeked honeyeater, striped honeyeater and the regionally uncommon grey-crowned babbler.

When the lake is flooded, waterbirds such as wood ducks, pacific black duck, australian grey teal, yellow-billed spoonbill, black-fronted dotterel and magpie-lark occur in moderate numbers.