The Socceroos have crashed out of the World Cup after a shattering loss to Egypt on penalties in Dallas on Saturday morning (AEST).

After the scores were deadlocked at 1-1, Australia rode their luck in extra-time before the match was decided in a dramatic shootout.

Veteran goalkeeper Mat Ryan was surprisingly subbed on for the shootout and took the captain’s armband, but couldn’t prevent a 4-2 loss.

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Stand-in skipper Harry Souttar faulted first, blazing the opening spot kick horribly over the bar to give Egypt the early advantage.

Egypt converted their first penalty before Jackson Irvine calmly dispatched his for the Socceroos.

Awer Mabil answered Egypt’s next successful penalty before superstar Mo Salah produced an audacious chip down the middle to score.

Socceroos youngster Lucas Herrington then surprisingly stepped up but his penalty hit the crossbar to put Egypt on the brink of victory.

Hossam Hassan then etched himself into history by scoring the winning penalty and giving Egypt their first ever knockout win.

Egypt’s Emam Ashour opened the scoring in the 13th minute in front of 70,244 fans at Dallas Stadium, before Aiden O’Neill’s wicked free kick forced Mohamed Hany to head the ball into his own net in the 55th minute.

Aussie players react after the dramatic loss. Credit: Getty Images

Coach Tony Popovic was shattered, but still proud of his side’s World Cup.

“I think we showed the world that Australian football is strong. A wonderful group. I’m devastated for them that we can’t progress,” he said.

Veteran midfielder Jackson Irvine was in tears post-match, but paid tribute to Souttar and Herrington for stepping up to take the penalties.

First of all, congratulations to Egypt, huge victory for them. An historic day for them as well,” he said.

“Listen, we took it way to the very end. Penalties is a cruel way to lose, but anybody who has got the confidence to step up and take that ball after 120 minutes, or however long you have played, it takes a big heart and I hope everyone stays behind them and they get all the support, because it takes a big heart to step up and take that after a game like that.”

Australia started the match brightly with a couple of half chances, but found themselves behind less than 15 minutes in.

Ashour opened the scoring for Egypt, heading home a quality cross from Karim Hafez to help secure the Pharaohs their first ever knockout win at a World Cup.

While it was a good finish, Ashour was basically unmarked at the back post in a rare defensive breakdown from the Socceroos, who have been so solid throughout the tournament.

The ball sailed over Aziz Behich and Nestory Irankunda was caught ball watching to allow Ashour to coast in.

“Not defended well from the back post and we’re punished,” former Socceroo Luke Wilkshire said on SBS.

“Disappointed from the Socceroos’ perspective, though. Everyone is well aware, you’ve got to stay on second balls. Yes, defended the first action. It is the second action — can we be more desperate? What’s around us? Be more aware.

“But drop your guard for one moment against players of this quality. That’s the level when you are in the World Cup, round of 32. It only takes one moment and you will be punished.”

The goal came after the Socceroos had made a bright start. Christian Volpato hit the cross bar with a curling effort in the fourth minute, while Jordy Bos was almost through on goal with a speedy run.

Egypt then scored from their best and only chance of the first half.

The Socceroos didn’t drop their heads and kept attacking, with a long-range effort from Aziz Behich stinging the palms of Egypt keeper Mostafa Shobeir.

The Socceroos copped a massive blow on the stroke of half-time with Jordy Bos going down with a knee injury following a heavy tackle from Ramy Rabia.

The influential speedster hobbled from the ground and looked in a world of pain during the break before being subbed off for Kai Trewin.

The second half began in dramatic fashion with Omar Marmoush through on goal from the opening kick-off, but firing wide.

The Socceroos then went down the other end and won a free kick in a dangerous position, which nearly ended up with Connor Metcalfe heading home at the back post.

Australia found the equaliser in the 55th minute when a brilliant free kick from Aiden O’Neill was turned into his own goal by defender Mohamed Hany.

O’Neill had won the free kick himself with some quick feet before stepping up to deliver the perfect ball, that had plenty of pace and resulted in the Socceroos’ 20th World Cup goal.

With the momentum behind them, the Socceroos pushed on and kept searching for a winner, but never created a clear-cut chance.

Aussie goalkeeper Patrick Beach ensured the game headed to extra-time with a stunning point-blank save to keep out a powerful header from Rabia in the final minutes.

Superstar Salah had the first chance of extra-time, firing over after the ball fell kindly to him, but was on his non-preferred right foot.

In the second period, Beach was thankful a deflected strike went straight to his waiting hands as the Socceroos were holding on for dear life.

Souttar headed a goal-bound shot over the bar with a brilliant block before thwarting a mazy Salah run to keep Egypt at bay.

The Socceroos were bombarded throughout extra-time and nearly pinched it at the death in a goal-mouth scramble, but held on to send the match to penalties.