The thermal reduction of hydrothermally synthesised α-Fe2O3 nanorods (NRs) to Fe3O4 NRs under hydrogen is investigated. Complete reduction of α-Fe2O3 NRs to Fe3O4 NRs was achieved during in situ XRD under 1 bar H2 atmosphere at 360°C. Complementary environmental transmission electron microscope investigation at high resolution, during in situ heating under an H2 pressure of 5 mbar at 500°C, provided evidence for the very first stages of transformation, supporting a model for the migration of oxygen along favoured α-Fe2O3 lattice planes during the templated thermal reduction of α-Fe2O3 NRs to Fe3O4 NRs.