It's EO in the sense that it uses the same executables but it was first completely emptied down to the useless tables that aren't used to every line of cq_action and npc or map.
All indexes were reset and completely new cq_action has been coded with outside apps allowing for a unique kind of experience when it comes to "EO" itself. Composing will be changed completely to the point where pets are no longer just paid for and hatched they are earned and so forth.
Currently as I am making it, I have made (guessing here) about 30 or so quests which are just a learning curve to eliminate the feeling of being lost in the game as most feel when first playing EO.
Looting is completely different from that of EO itself. As is the experience gained from monsters, if you're too high level compared to that of the monster you will not gain any experience at all. If you're a much lower level you will gain a bonus to your experience as well.
There are many more things that make this completely different but I would prefer people play it and find out :)