Nice (France): Iceland shocked England 2-1 to reach the quarterfinals of the European Championship here. England pulled ahead only two minutes into the first half as captain Wayne Rooney fired a penalty kick into the bottom right corner after Raheem Sterling had been brought down by Iceland goalkeeper Halldorsson during the match on Monday. But Iceland, the smallest country in the 24-team tournament, levelled the score two minutes later. Kari Arnason nodded a huge throw-in for Ragnar Sigurdsson to slot home from close range, Xinhua news agency reported. England were in control of the game but Iceland made it 2-1 in the 18th minute from their only second meaningful attack. Their striker Kolbeinn Sigthorsson fired home from the edge of the box and England keeper Joe Hart got his left hand to it but could not stop the ball flying into the net. Roy Hodgson's side failed to create any good chances in the second half, managing only two shots in 45 minutes. Iceland almost scored a third goal in the 83rd minute, when captain Aron Gunnarsson raced down from the middle and had only Jack Wilshere to beat. But his shot was blocked by Hart. Iceland will face France in the quarterfinals.