Gallery: Spot-kicks sink Seagulls!
Gerónimo Rulli was the City hero as the goalkeeper saved two penalties to inspire us to a 4-3 penalty shoot-out win over Brighton, securing our place in the quarter-finals of the competition.
It was an intriguing first 30 minutes at the Etihad with both sides jostling for control, but it was the visitors who struck first as Malick Yalcouyé turned in from close-range.
10 minutes later, we struck back as Phil Foden set up Mateo Kovačić to superbly curl into the net from long-range, with the ball kissing the inside of the post on the way in.
Two minutes after the interval, the Seagulls went ahead for the second time of the evening thanks to a neat finish from Georginio Rutter.
With just under 20 minutes left to play, Vitor Reis instinctively flicked in from Rayan Cherki’s drilled free-kick to claim his first goal for the Club.
And with neither side finding a winner in a pulsating 90 minutes of normal time, the tie went to penalties.
After Foden, Pascal Groß, Enzo Fernández, Matt O’Riley, Jeremy Doku and Maxim De Cuyper all scored from the spot, Kovačić was the first to miss seeing his effort saved.
But Rulli saved instantly from Yasin Ayari, before Rayan Cherki scored.
Then Rulli worked his magic again, denying Lewis Dunk to secure our place in the quarter-finals.
View the best images from the thrilling victory via our gallery below.
UP FOR THE CUP : Ready for Carabao Cup action at the Etihad.
UP FOR THE CUP : Ready for Carabao Cup action at the Etihad.
PHIL-ING GOOD : Foden arrives.
READY RICO : Lewis makes his way into the stadium.
READY RICO : Lewis makes his way into the stadium.
AWESOME ACADEMY : Dexter Oliver is named in the first team squad for the first time.
AWESOME ACADEMY : Dexter Oliver is named in the first team squad for the first time.
THREE AMIGOS : Bouaddi, Aït-Nouri and Cherki share a joke as they check out the pitch.
THREE AMIGOS : Bouaddi, Aït-Nouri and Cherki share a joke as they check out the pitch.
GET LOOSE : Guéhi and co go through their pre-match drills.
GET LOOSE : Guéhi and co go through their pre-match drills.
CHEEKY CHERKI : Pulling out the tricks during the warm up.
CHEEKY CHERKI : Pulling out the tricks during the warm up.
CHEEKY CHERKI : Pulling out the tricks during the warm up.
LIVELY LEWIS : On the ball early on.
MIDFIELD MAESTRO : Looking to inspire a leveller after Brighton's opener.
MIDFIELD MAESTRO : Looking to inspire a leveller after Brighton's opener.
10 AWESOME ALLAN : On the front foot.
AWESOME ALLAN : On the front foot.
FIST PUMP : Kovačić celebrates his equaliser!
FIST PUMP : Kovačić celebrates his equaliser!
SCORER AND PROVIDER : Foden and Kovačić celebrate.
SCORER AND PROVIDER : Foden and Kovačić celebrate.
13 MAIN MAN : Kovačić feels the love.
MAIN MAN : Kovačić feels the love.
THE BOSS : Pointing out some changes as Brighton go back ahead.
THE BOSS : Pointing out some changes as Brighton go back ahead.
DANGEROUS DOKU : Causing havoc on the flank.
DANGEROUS DOKU : Causing havoc on the flank.
BRAZILIAN BRILLIANCE : Reis wheels away to celebrate after making it 2-2.
BRAZILIAN BRILLIANCE : Reis wheels away to celebrate after making it 2-2.
17 RAYAN ROAR : Cherki enjoyed that!
RAYAN ROAR : Cherki enjoyed that!
18 SHOOT-OUT SCENES : Get in!
SHOOT-OUT SCENES : Get in!
19 QUARTER-FINALS : That way!
QUARTER-FINALS : That way!
20 RULLI ROAR : The hero!
RULLI ROAR : The hero!
RULLI ROAR : The hero!