The focus of this investigation is to quantify the conversion of magnetic to thermal energy initiated by a quiet Sun cancellation event and to explore the resulting dynamics from the interaction of the opposite-polarity magnetic features. We used imaging spectroscopy in the Hα line, along with spectropolarimetry in the Fe I 6173 Å and Ca II 8542 Å lines from the Swedish Solar Telescope (SST) to study a reconnection-related cancellation and the appearance of a quiet Sun Ellerman bomb (QSEB). We observed, for the first time, QSEB signature in both the wings and core of the Fe I 6173 Å line. We also found that, at times, the Fe I line-core intensity reaches higher values than the quiet Sun continuum intensity. From FIRTEZ-dz inversions of the Stokes profiles in Fe I and Ca II lines, we found enhanced temperature, with respect to the quiet Sun values, at the photospheric (log τ_c  = −1.5; ∼1000 K) and lower chromospheric heights (log τ_c  = −4.5; ∼360 K). From the calculation of total magnetic energy and thermal energy within these two layers, it was confirmed that the magnetic energy released during the flux cancellation can support heating in the aforesaid height range. Further, the temperature stratification maps enabled us to identify cumulative effects of successive reconnection on temperature pattern, including recurring temperature enhancements. Similarly, Doppler velocity stratification maps revealed impacts on plasma flow pattern, such as a sudden change in the flow direction.