Egypt, whose qualification for the Round of 32 was already guaranteed, took the lead inside five minutes through Mahmoud Saber, before Ramin Rezaeian equalised from a tight angle in the 14th minute of a frantic start.

The early action fizzled out as the game became scrappy until a remarkable finale in which Iran hit the woodwork before snatching what seemed a famous win, only to have the video assistant referee (VAR) intervene.

Iran's Mehdi Taremi, who had a penalty saved in the first half, hit the crossbar with a late header before Shoja Khalilzadeh fired home in the 93rd minute, sparking wild celebrations as the Iran bench streamed on to the pitch.

But Khalilzadeh had strayed just offside and Egypt clung on, with Iran coach Amir Ghalenoei bemoaning his side's luck after a third consecutive draw.

"Over these three matches, we did not get the reward for our efforts," he said.

"Footballing justice was not on our side."

Egypt finished second with five points and will play Australia in Dallas on 4 July (AEST) after it qualified for the knockout phase for the first time.

"It's something unbelievable, I think it's history," Egypt goalkeeper Mostafa Shobeir, who saved Taremi's early penalty, said.

"We will celebrate tonight and then starting from tomorrow we are going to start watching Australia."

Iran is third on three points and must wait for confirmation that it will go through as one of the eight best third-placed teams.

"I feel sad, but we have hope – human beings always have hope," Taremi said before he strongly criticised the travel restrictions on the Iran team which means it will shortly have to travel back to its Mexican base.

The United States government eased restrictions on the Iran squad's travel arrangements earlier in the week, allowing it to travel two days before the Egypt match.

But Taremi said: "It's a disaster, [this FIFA] World Cup. It's a disaster. Now we have to travel again, going to Tijuana again, without recovery, without anything – it's not fair."

The game was played with a large and loud Egypt contingent in the stands, but there were also significant numbers of Iran fans, some of whom waved pre-revolutionary flags and also booed Iran's national anthem.

The game was also designated the "Pride Match" by local organisers and some rainbow flags could be seen inside the stadium.

"Our religion does not accept that, but we respect all of the LGBT people," Taremi said. "We are here to play football, we respect all of those guys."

Egypt broke the deadlock after a slick move with Mohamed Salah at its centre as his trademark left-footed attempt eventually fell to Saber, whose tame effort slipped through Iran goalkeeper Alireza Beiranvand.

Iran was unfazed, though, and Taremi almost immediately won a penalty, which was well saved by Shobeir. The Egypt goalkeeper then produced another diving stop, only to see Rezaeian equalise on the rebound.

There were few clear opportunities after the first-half hydration break and, with Egypt's progress to the knockout stage for the first time already confirmed, the Pharaohs were timid as Iran grew in confidence.

Pinball in the box in added time ended with Khalilzadeh firing home to seemingly send Iran through to the Round of 32, but the goal was ruled out and Team Melli's fate was no longer in its own hands.