Telstra Stadium is to host Australia's crucial World Cup soccer qualifier against a South American nation in November.

The NSW Government has beaten off Victoria and Queensland to host the match which is said to be worth $19 million.

Premier Bob Carr will join Football Federation Australia chief executive John O'Neill at the Opera House on Thursday to make the announcement.

"The Olympics and rugby World Cup earned us a stamp of excellence.

"The World Cup playoff is another opportunity to showcase Sydney," he told the Daily Telegraph.

Telstra Stadium was chosen ahead of Melbourne's Telstra Dome and Brisbane's Suncorp Stadium which both have a capacity of just 52,000.

The match is earmarked for November 12 or 16 and is expected to attract a sellout crowd of 83,000.

The World Cup will be held in Germany next year.

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