Knowledge of the effective thermal diffusivity changes of systems undergoing reactions where heat transfer plays an important role in the reaction kinetics is essential for process understanding and control. Carbothermic reduction process of magnetite containing composites is a typical example of such systems. The reduction process in this case is highly endothermic and hence, the overall rate of the reaction is greatly influenced by the heat transfer through composite compact. Using Laser-Flash method, the change of effective thermal diffusivity of magnetite-graphite composite pellet was monitored in the dynamic mode over a pre-defined thermal cycle (heating at the rate of 7 K/min to 1423 K (1150°C), holding the sample for 270 minutes at this temperature and then cooling it down to the room temperature at the same rate as heating). These measurements were supplemented by Thermogravimetric Analysis under comparable experimental conditions as well as quenching tests of the samples in order to combine the impact of various factors such as sample dilatations and changes in apparent density on the progress of the reaction. The present results show that monitoring thermal diffusivity changes during the course of reduction would be a very useful tool in a total understanding of the underlying physicochemical phenomena. At the end, effort is made to estimate the apparent thermal conductivity values based on the measured thermal diffusivity and dilatations.