The significance of Wambool relates to it unusual geology on the edge of the Bathurst plains. As the granite gives way to slates, shales, greywackers and quartz, the open grassland with scattered trees changes to a woodland of stunted trees with a rich understory of shrubs and herbs.

Wambool Nature Reserve's vegetation is dominated by stunted gum trees, including Western Scribbly Gum, which at times are so low and widely spaced that the resulting vegetation is a low open-woodland. There's also a strong representation of flowering shrubs and terrestrial orchids, many of which are rare.

The Reserve also contains a wide range of fauna, including the ring-tailed possum, brush-tailed possum, sugar glider, many birds, several species of bat, the grey kangaroo, swamp wallaby, marsupial mouse, echidna, bush rat and a wide range of reptiles and insects.

Research and educational activities are encouraged where compatible with nature conservation objectives.