Trying to create encrypted disc image on external drive

Hi,
I'm trying to create a 10Gig encrypted disc image on an almost empty 2Tb external HD. I go through the usual steps using disc image. But about 1/4 of the way through "creating image" it stops, saying "file too large". Why is this, and is there a way around it.
Richard

Oops. I've just realized that the external HD is formatted as FAT32, so that explains it.
Richard

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