Obviously this is tough on Chile, who have had a fantastic tournament and an excellent match. Their fans are applauding them, and rightly so. Their players could not have given more, and pushed Brazil all the way to just before breaking point despite limited resources. The man who missed the final penalty, Gonzalo Jara, has just been released by Nottingham Forest; for them to be this good is borderline miraculous.
There are grown men sobbing in the stands. Heaven knows the emotions they went through in that game – it was gruelling enough in this office in Kings Cross – or what the scenes would have been had Brazil not won that.
What a start to the knock-out rounds! Drama! Skill! Scurrying about! Goals! Tears! It had the lot, and Brazil twice came the width of the woodwork away from possible defeat, first with Pinilla's late shot, and then Jara's penalty. This is not a good Brazil team, but someone's still got to beat them and nobody has yet.
David Luíz will take the first penalty for Brazil. Deep breath now.
OK, this is about to happen. Looks like the penalties will be taken from the mixed end, rather than the Brazil end.
Interesting to see the Brazil players take turns to gee each other up before the shoot-out. Principle speakers appear to be Neymar, Fred and Paulinho.
When Brazil last had a penalty shoot-out, against Paraguay in the 2011 Copa America, not a single Brazilian scored.
120+2 mins: From which, eventually, Ramires shoots narrowly wide from 20 yards. At the other end, the bar is still reverberating.
120+1 mins: There will be two minutes of stoppage time, which start with a Brazil corner.
120 mins: Chile hit the bar! From nothing, Pinilla beats Thiago Silva at the edge of the penalty area and thunders a shot into the meat of the crossbar.
120 mins: The minute starts with a Hulk 40-yarder that flies way wide.
119 mins: Chile summon the energy to harass Brazil into passing the ball all the way back to the goalkeeper. One minute to survive.
118 mins: Neymar is fouled on the left, Willian floats the ball into the penalty area and it's headed away. Is there one big chance to come?
117 mins: "Serious question wats up with Sanchez and his shorts," asks Tafadzwa Muchena. It's a fair point – his shorts appear to have been shrinking as the game's gone on. They're now barely reaching the top of his thighs.
117 mins: Aranguiz goes down with cramp. He's done very well to last this long, to be fair.
116 mins: This is all Brazil. They're still not very good, though, which is all that's saving an exhausted Chile side.
114 mins: Hulk takes on Mena on Brazil's right but then pulls up, clutching his eye. Mena did throw out his arms, but only made contact with a jaw. Still, it ain't Rivaldo. He wins a free-kick.
113 mins: The last minute featured perhaps my all-time favourite penalty appeal – not sure which Brazil player was responsible, on the far side of the pitch, but Sánchez was at least 15 yards onside – and probably the most wayward shot of the entire tournament from Chile.
112 mins: Brazil win a free-kick, about 40 yards out, and randomly thump it about 15 yards wide. Bravo hoofs his goal kick all the way down to Julio Cesar at the other end.
111 mins: Chile switch from a back five, with Medel at its centre, to a four. They're knackered, with nine minutes to play.
110 mins: Isla watches the ball roll out of play, but Willian arrives at the last moment to nick the ball off him. Webb decides it went out of play first, which I think is his first significant mistake of the game. "I think Webb has done a fine job in a very difficult match," enthuses KJ Peters. "But if Chile wins he should flee the country ASAP."
109 mins: Medel can't even walk off the pitch, sitting up on the stretcher as he's taken off and Jose Rojas comes on. Chile are all out of subs now.
108 mins: Medel is not looking very cheerful here, and is ripping off some of the strapping that was wrapped around his thigh at the mini-break.
107 mins: Neymar escapes down the left, beating Isla, and Medel acrobatically clears his cross. Neymar's corner finds Jô at the near post, who heads over.
106 mins: Brazil kick us off for the sixth and perhaps final time.
105+3 mins: Sánchez sends the free-kick wide, and the whistle blows.
105+1 mins: It will end with a Chile free-kick and a yellow card for Dani Alves, who shoved Pinilla.
105+1 mins: This will be the only minute of first-half extra-time stoppage-time
105 mins: Chile had nothing of the first 12 minutes of extra time, and all of the following couple, even if their attack petered out without a chance being created.
103 mins: Hulk slams in a 25-yarder that Bravo couldn't hope to hold, but Chile clear.
112 mins: Pinilla gets himself a booking for tripping David Luíz as the Brazilian was in the process of skipping off into the distance.
112 mins: Brazil are hogging the ball here, their possession ending with Hulk crossing from the right and Oscar's header from beyond the far post being collected by Bravo.
100 mins: Marcelo passes the ball nicely into the path of Jô's run, but his kind-of-shot-while-falling-over isn't up to much.
98 mins: "Chile have grown in confidence as the game has worn on," writes Raghuram Cadambi. "Brazil, sadly, look a bit like England here - they all seem way too scared to make a mistake." I do see quite a lot of Englishness in this Brazil display, even down to the controversially-disallowed goal – very Portugal in 2004.
96 mins: Neymar gives away another free-kick, but remains unbooked. I don't think Fernando's right on this, but I do think he probably reflects the prevailing opinion in Brazil.
94 mins: Some very cool defending by Medel, who reaches the ball just before Jô and then goes past him with a little shuffle, with nobody but the keeper behind him in case of accident.
93 mins: Brazil send a long ball through but it seems to hold up off the turf and Bravo only just reaches it before Jô, whose flying boot lands only on the keeper's chest.
92 mins: I think Neymar shot from the free-kick, but I know that Pinilla headed the ball away for a corner, from which nothing results.
91 mins: Chile bursts down the left and wins a free-kick just outside the penalty area. The supporters have definitely refound their voice.
91 mins: Chile start our 30-minute bonus. One more stat on the first 90: total distance run: Brazil 96,588m - 104,369m Chile. That's an extra 7.8km.
Shots – Brazil 15-6 Chile
Corners - Brazil 6-5 Chile
Saves – Brazil 1-4 Chile
Fouls – Brazil 21-14 Chile
Passes – Brazil 351-435 Chile
Completion rate – Brazil 67%-72% Chile
90+2 mins: Marcelo Diaz's 30-yarder is rolling so wide that Pinilla was about to turn it in, but Dani Alves clears. The corner is whipped across goal but no Chilean gets a touch.
90+1 mins: As stoppage time starts Chile work the ball into the box, and Aranguiz steals the ball from the toes of Sánchez, who would surely have skipped into space and delivered a shot, and the chance goes.
90+1 mins: We go into three minutes of added time.
89 mins: Pinilla's first touch is followed by a backheel to Eugenio Mena, but again there's nobody to receive a cross, so he doesn't deliver one.
87 mins: Chile substitution: Arturo Vidal is going off, and Mauricio Pinilla is coming on.
87 mins: Sánchez has the ball on the left and looks up, only to see that there is not a single red shirt in or around the penalty area. They're not going to get anywhere like that, either.
86 mins: Chile have the ball for a bit, and then launch it long towards Vidal on the edge of the penalty area and it's headed away. They're not going to get anywhere like that, surely.
84 mins: Brazil seem to be trialling an unusual formation when they have the ball, with the central defenders in defence, the full-backs in central midfield, the attackers up front and everyone else on one flank or the other, leaving a massive hole in the middle of the field. And it seems to be working.
83 mins: Another stunning save! Hulk gets the ball, 25 yards out and rampages into the penalty area before lashing a right-foot shot goalwards, which Bravo pushes clear.
81 mins: Chance for Neymar! It's a very fine chipped pass from Dani Alves, and Neymar reaches it 15 yards out but his header is too central and is saved.
79 mins: Chile keep closing down, keep winning the ball, but aren't really keeping the ball having done so. "If Brazil go out here, the question Big Phil will have to ask himself is - 'Would Fred have finished that?'" writes Prateek Chadha.
77 mins: The game has become a bit scrappy now, as tension and tiredness perhaps overcome the players a bit. "Am I watching the same game?" asks Fraser Thomas. "Compelling? Yes. But there are so many basic errors. And the defending is beyond dire. If this was a Premier League we'd all be screaming."
74 mins: Miss of the day! Hulk has the ball on the left and crosses towards Jô at the far post, but at the very last moment Eugenio Mena flings out a leg. Perhaps Jô thought the defender would get a touch and send the ball behind, but he doesn't. So Jô himself gets a touch and sends the ball behind. Wonderful chance.
Jo of Brazil stretches for the ball
Photograph: Ian Walton/Getty Images
Oh Jô. Photograph: Martin Bernetti/AFP/Getty Images
Updated at 6.48pm BST
72 mins: Ramires is going to replace Fernandinho. The tension, which was pretty high before kick-off, is ratcheting up as the clock ticks towards 90 minutes.
With that disallowed goal and Chile having the upper hand in the last few minutes, a Brazilian fan hopes for better luck for her team.
With that disallowed goal and Chile having the upper hand in the last few minutes, a Brazilian fan hopes for better luck for her team. Photograph: Rodrigo Abd/AP
70 mins: Fred, incidentally, went off a few minutes ago, being replaced by Jô.
69 mins: Chile are controlling this at the moment, as Brazil sulk over Hulk. Alexis Sánchez is the dominant figure – he's everywhere, while Neymar has faded.
68 mins: Chile win the ball, ping a few passes around and Vidal's suddenly streaking into Brazil's penalty area. The ball is stolen from his toes at the last.
66 mins: That was a superb move from Chile, probably the best of the match from either side. Lightning fast and impeccably precise.
64 mins: What a save! Isla pulls the ball back from the touchline to Aranguiz, whose first-time shot was flying in at the near post until Julio Cesar pushed it wide.
62 mins: At the moment I'm thinking back to stories of the 1950 final referee fleeing the stadium after the final whistle, going straight to the docks and never setting foot on Brazilian soil again. Webb's major calls have been right, I think – but they haven't been popular.
61 mins: The free-kick came to nought, but a few moments later on the other side of the pitch, Fernandinh takes out Francisco Silva (but isn't booked. I don't know what he has on Webb but it must be good). "Chile's pressing has been fantastic as usual and while it allows them to score goals like the one Alexis did, it also means that they need to win this in the regulation 90 minutes," writes Prateek Chadha. "If they don't, even though they are an extraordinarily fit side, there is every chance that they will be as drained as Atletico were in the Champions League final."
60 mins: Another booking, this for Luiz Gustavo, who fouled Vidal twice, once with each foot. He too would miss a quarter-final.
58 mins: Felipão is giving the fourth official a piece of his mind, but elsewhere the stadium has fallen a little quiet after that disallowed goal.
56 mins: I think that was a mainly good decision. The ball hit Hulk in the upper arm as he controlled it, so the goal shouldn't have stood, but I'm not sure it was flagrant or deliberate enough to deserve a booking. And now a substitution: Eduardo Vargas is off and Felipe Gutierrez is on.
55 mins: Goal disallowed! A long ball from the left finds Hulk in the penalty area, and Hulk controls before shinning it back across goal and in at the back stick. But the assistant referee is flagging! And after a quick chat, Webb disallows the goal and books Hulk for handball.
54 mins: Dani Alves's cross from the right isn't good enough to reach Naymar, and Chile attack down the left but produce a cross that isn't good enough to reach Sánchez.
52 mins: Fred has taken a lot of stick in this competition, but at this rate he'll get some more today. He's just not up to the job of man-up-front-for-hosts-and-favourites.
49 mins: Fernandinho spears a 20-yarder wide. "I don't see how this game is going to end with 22 players," says JR. "At the end of the first half Fred shoved Medel in the head and tried to pretend it was a friendly gesture. Medel wasn't buying it and shoved Fred in the head then Fred acted all tough and Medel had threatening words for him." It's true, they did. Hopefully both have calmed down over half-time.
48 mins: Chile win a free-kick on the right, pump it into the penalty area and Brazil clear. "Why are Chile even bothering with long corners into the box?" wonders Tanay Padhi. "The only player in their lineup hitting six feet is Bravo, and it's a little early for that."
47 mins: Marcelo loses a header to Sánchez on the halfway line, sits up, sees that Chile have the ball, and then lies back down and pretends to be injured.
The Chile team is back on the pitch. The Brazil players are having a team meeting in the tunnel and letting them stew.
There's no way these players can keep this up for an hour and a half. The pressing from both teams has been good – Neymar has been a particular nuisance for those Chile defenders, and could have had a goal or two had his left foot been a little better – but surely they're using too much effort.
45+3 mins: Chile have two corners, make nothing of either, and still find time to gift the ball to Neymar in their own half once again before Webb blows for half-time. "There's no way England could have kept up with either of these teams, is there?" writes Richard Lindsay. "It's football on another level. So committed, passionate and skilful." Totally gripping stuff. I'm drooling on my keyboard here.
45+1 mins: More suicidal defending, this at the other end. Or good pressing, depending how you look at it. This time Sánchez passes into the penalty area, and Aranguiz's shot is bundled behind.
45 mins: Diaz gives the ball away to Neymar, midway through his own half. Chile are taking some risks here, for little apparent reason. This time Neymar is forced wide, and Fernandinho and Fred compete for the header, and as a result neither heads it very well.
42 mins: Super shot from Dani Alves, a good 25 yards out, swerving and dipping and tipped over by Bravo.
40 mins: Francisco Silva is booked for a foul on Neymar, and he too would miss a quarter-final.
39 mins: Woooaaah! Incredible pass from Oscar, sweeping right to left, finds Neymar, who controls brilliantly and cuts inside. Someone closes him down just in time but then dallies on the ball before clearing straight into the onrushing Fred – it could have gone anywhere, but flies over.
38 mins: I trust that this game is just as tense and exciting if you're not furiously typing. The atmosphere seems incredible, and the game – while far from perfect – isn't letting anyone down.
37 mins: Claudio Bravo, the Chile goalkeeper, comes – all the way to the edge of the penalty area – to claim the corner. He doesn't, and just about gets away with it.
36 mins: Oscar, who has been quiet so far, crosses from the right and Neymar's header hits Francisco Silva and lands a foot wide.
34 mins: It was indeed Hulk, who tried to tap the ball back to Marcelo, who had just thrown it to him, but saw Eduardo Vargas reach it first. His first-time tap inside found Sánchez, and the rest is very recent history.
33 mins: I think that was Hulk's hideous defensive error, allowing the ball to be stolen off his toes to allow Chile to create that chance.
31 mins: Webb's really got to get a grip here. Fernandinho, who could have been booked in the first few minutes, fouls twice more in the space of 20 seconds and remains uncautioned. This game is teetering on the brink of lawlessness.
31 mins: Sanchez tries to dribble his way out of his half, runs straight into a couple of Brazilians and gives the ball away.
28 mins: Vidal fouls Neymar on the left touchline. Not a lot of contact in it, really, but Neymar launches himself into the sky to avoid the swinging foot, crashes down to earth and rolls around a lot. Webb's cards remain pocketed.
26 mins: Instead the Brazil armour find a chink in their possession and suddenly they break, and Neymar streaks past Silva – who is incredibly slow and needs to be protected from Neymar at all costs – before shooting wide from the edge of the area.
25 mins: A long spell of Chile possession. They're a patient bunch, and wait to find a chink in the Brazil armour.
23 mins: Neymar clashes with Medel, first on the ball and then off it, and gets a ticking off from Webb.
22 mins: Marcelo fouls Sanchez on the right, but Diaz's free-kick is headed clear. Chile need to do more quicksilver, fleet-footed attacking, and rely less on sending free-kicks into the mixer.
20 mins: Some have credited the goal to Gonzalo Jara, who was marking Luíz.
17 mins: Another free-kick for Brazil, this time from the right flank – Eugenio Mena is booked for conceding it, and would miss a quarter-final – is sent in by Hulk. It's a good, pacey delivery, and the keeper shovels it behind.
16 mins: A Chile pass deflects off a Brazilian knee into their own half of the field, where Francisco Silva – despite being a good five yards closer to it – is overtaken in a race for the ball by Neymar, but enough defenders get back to crowd out the attacker.
15 mins: Brazil get a free-kick, six inches outside the penalty area on the left. Neymar curls the ball towards the back post, where Bravo catches it.
13 mins: Penalty claim! Hulk plays a one-two with Neymar, runs into the area and then falls over after Mauricio Isla gives him a little shove. It would have been a weak penalty – and the offence was almost identical to David Luiz's in the other area a few moments earlier – but I've seen 'em given.
13 mins: Neymar gives the ball away when his backheel is intercepted, and the ball is swiftly worked to Sanchez. He's robbed by Marcelo, but gets back well to take the ball back off the Brazilian ont he edge of his area.
11 mins: Chile attack, and Sanchez slides the ball low from the right towards Eduardo Vargas, who tumbles before he can get anywhere near it. Webb is not keen on their penalty appeals.
10 mins: No evidence of the limp in Neymar's last couple of sprints, so the water may have worked. It's been a breathless opening, nobody having any space with which to do anything particularly good.
8 mins: Neymar is back on the pitch but still limping. He fell over when challenged by Aranguiz a few minutes ago, which may have been the cause of his problems.
7 mins: Neymar has limped to the side of the pitch for treatment to his knee, worryingly for Brazil. The physio is applying only water, so it can't be that bad.
6 mins: Dani Alves has the ball stolen off his toes, and though the resulting cross is cleared, Marcelo Diaz volleys the ball back with interest, but it flies a foot wide.
6 mins: Brazil win a corner on the left, Hulk takes and it's cleared to Marcelo, lurking on the edge of the area, who shifts the ball onto his left foot and blasts a shot wide.
4 mins: Talking of Webb and his decisions, Fernandinho clatters Charles Aranguiz after the ball's gone and gets away with it because it's a little too early for yellow cards.
3 mins: "After all those controversial decisions, nice to see that Howard Webb is refereeing incognito under an impenetrable alias," notes Matvei.
Howard Webb at the World Cup
Howard Webb before kick-off of Brazil v Chile Photograph: /telly
2 mins: Chile pump a free-kick into the penalty area, but it's headed clear. If you want some pictures to go with your words, we've got a match gallery here. Or just turn on a telly, it's up to you.
5.02pm BST Peeeeeeeeeeep!
1 min: They're off! Chile get the match and indeed the knockout rounds under way.
The World Cup’s round of 16 begins Saturday with an all-South American slate of games:
Brazil vs. Chile in Belo Horizonte, 13:00 Local time
Colombia vs. Uruguay in Rio de Janeiro, 17:00 Local time
At stake: Saturday’s winners square off in the quarterfinals on Friday at 17:00 in Fortaleza.