The 69-year-old was in a bar in the Mineirao Stadium in Belo Horizonte when he complained of feeling unwell.
He was taken to hospital but died shortly after his arrival, according to Brazilian newspapers.
It was also reported that at least 98 other supporters in the stadium needed emergency medical attention in the stadium – including one 50-year-old woman that was suffering with shock.
Brazil eventually ended up winning the shootout 3-2 after the match finished 1-1 in extra time.
The host nation missed two penalties after Chile had already missed two leading to sudden death.
And former West Brom defender Gonzalo Jara hit the post for Chile, which handed Brazil the victory and sent fans mad.
So far, the excitement of the World Cup has caused a number of fans to die from strange circumstances.
One man in China died after staying up for three days to watch the opening group matches.
While another fan from Mexico jumped to his death following his nation's successful start to the tournament.