Ellerslie Nature Reserve forms part of a fragmented network of conservation reserves in the South West Slopes bioregion. Six distinct forest ecosystems are found within the reserve and a diverse range of native animals including 5 amphibian species, 10 reptile species, 15 mammal species and 85 bird species.
The reserve also contains a number of Aboriginal sites, the remains of a possible property boundary tree, and an inscribed plaque which commemorates the grazing history of the area.