Gas filled Pd nanocontainers can serve as model nanochambers for reaction and phase equilibria studies. In the current study, palladium hollow spheres (PdHS) filled with oxygen are brought in intimate contact with hydrogen filled PdHS at room temperature (with internal pressure in both the spheres at 20 bar). The molecular hydrogen gets chemisorbed in the Pd shell and further diffuses into the oxygen filled sphere. The rapid reaction of hydrogen with oxygen in the inner wall of the oxygen filled sphere leads to a nanoexplosion, with the formation of water. This explosion results in either the complete breakage of the nanoshell or the formation of connected shells via the rupture of the internal wall connecting the shells. Transmission electron microscopy and Raman spectroscopy have been used to establish the sequence of processes. Further, the water in the nanochambers is cooled below sub-zero temperature to crystallize ice. This phenomenon is observed for the first time at room temperature.