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The NSW Waratahs retained the Templeton Cup with a 30-28 over the QR Reds at Suncorp Stadium after Wycliff Palu crashed over for a try in the final minute.

The Cup looked to be heading back to Queensland for the first time since 2004 when a penalty try in the 70th minute gave Queensland a 28-18 lead, but tries to replacement Rory Sidey and Palu in the final eight minutes gave the visitors the win.

Queensland scored three tries to two, however ill discipline from the Reds and a strong kicking performance from the Waratahs saw the visitors add 20 points with the boot.

Captain James Horwill, who played one of his best games for the Reds, said he was shattered post-match while head coach Ewen McKenzie described the mood of players in the dressing room as despondent.

“There’s no question we didn’t finish how I wanted it to.  But it’s an 80 minute game and you can’t be patting yourself on the back too soon,” McKenzie said.

“We let them off the hook and I’m very disappointed with the last 10 minutes.  We had the game at the end but we let it go.”

Queensland dominated territory and possession for the majority of the match as they adapted positively to the new tackle law interpretations, where the team with the ball now has a distinct advantage at the breakdown.

Queensland chose to keep the ball in hand at every opportunity and only kicked when it was most required.

“I think we did a good job in the game.  Strategy wise, tactically, attitudinally…I thought we played a pretty good game,” McKenzie said.

“But the character they showed out there should be there every week.  I want to make that a hallmark of the team.  I want to make it bloody hard for teams to come and play against us.

“It was a good start but we have to front next week against a really good side (Crusaders on Friday).”

McKenzie praised Horwill for his performance at blindside flanker.

“When we put him at flanker everyone thought we were a bit silly but I don’t think he got exposed out there,” he said.

“I think he contributed well as a leader and in terms of his play, but that is what you expect.”

The match was played with the same intensity expected of Queensland and New South Wales derbies, with former Reds playmaker Berrick Barnes involved in many spirited exchanges in his return to Suncorp.

In his first touch Barnes and prop Ben Daley came together while Horwill was also involved in a heated exchange with his former team-mate during the first half.

Daley and Scott Higginbotham played well against one of the best forward packs in the competition, while Wallaby Will Genia was a star at scrumhalf.

Hooker Sean Hardman (ankle) is the only injury concern to come from the match although the hot and humid conditions left many players suffering cramp in the later stages.

After some fierce opening exchanges, Barnes finally got the scoring under way in the 20th minute with a drop goal after his side repeatedly failed to make any headway through the Reds defence.

Sparked into gear, the Reds struck back minutes later when Daniel Braid, who turned 29 tonight, drove through three defenders to shove his way across the line.  Ioane started the movement with a break through the middle of the NSW defence, while Braid received the ball from a pin-point long ball from flyhalf Quade Cooper.

Ill discipline crept into both sides game at the end of the half with Cooper and Barnes adding a penalty goal each in the closing stages.

The break didn’t seem to slow the Reds momentum and within minutes Horwill had added to their lead when he surged his way across the paint.

Penalties helped keep NSW in the game while two Cooper penalty goals kept the scoreboard ticking for the home side until a penalty try gave the Reds a clear advantage.

Genia looked certain to score after he flew down the right flank, chip-kicked over the fullback, only to have Waratah flanker Ben Mowen illegally bat the ball away over the line.

However it wasn’t enough, with a disintegrating set-piece from the Reds allowing NSW to claw their way back with two late tries.

The first came in the 73rd minute to Sidey on the left sideline, while Palu crashed his way under the post to give replacement flyhalf Daniel Halangahu an easy conversion.

NSW Waratahs 30 (Rory Sidey, Wycliff Palu tries, Daniel Halangahu con, Berrick Barnes 4, Daniel Halangahu pens, Barnes drop goal) def QR Reds 28 (Penalty try, Daniel Braid, James Horwill tries, Quade Cooper 2 cons, 2 pens, drop goal). Crowd 22,582

In the curtain raiser the QAS Reds 2nd XV scored a 48-7 win over a Queensland Premier XV squad, with QR Reds wingers Blair Connor and Luke Morahan both scoring two tries.

QAS Reds Academy 48 (Blair Connor 2, Luke Morahan 2, Robert Simmons, Lei Tomiki, Sam Grasso, Leroy Houston tries, Jono Lance 3, Ben Tapuai cons) def Queensland Premier XV 7 (Jono Ellis try, Dallan Murphy con)