David Luiz opened the scoring 18 minutes into an enthralling encounter in Belo Horizonte but Alexis Sanchez levelled matters just after the half-hour mark.
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"It was a great match," Hulk, who missed during the shootout, told Rede Globo. "We knew how good Chile are.
"But we lost concentration and I made a mistake. It was our only mistake and they ended up scoring a goal.
"But then, there was my goal too, when the ball came to my chest but it wasn't given. To me, it was clean. I controlled the ball on my chest and shoulder.
"I saw the ball go in but he didn't give it and I initially thought [that the linesman] had given offside.
"But the important thing is really that we still made it [through]. In times like this we see the strength of the group; how much we support each other.
"We're together, we didn't let our heads drop. Thank God Julio [Cesar] made all those wonderful saves!"
Tournament hosts Brazil will now face either Colombia or Uruguay in the quarter-finals.