UPDATE 1-Soccer-Sudan to host possible Egypt-Algeria playoff

* FIFA draw decides on Sudan as playoff venue

* Sudan venue favoured by Egypt (Adds detail)

By Brian Homewood

BERNE, Nov 11 (Reuters) - Fierce rivals Egypt and Algeria will meet in a playoff in Sudan if they finish level at the top of their World Cup qualifying group, FIFA said on Wednesday.

The venue, which was favoured by the Egyptians, was chosen at a draw at FIFA headquarters, soccer's governing body said. Algeria had asked to play in Tunisia.

Algeria, who last qualified for the World Cup in 1986, lead African Group C with 13 points, three ahead of African champions Egypt, who despite being a dominant force on the continent have not qualified since 1990.

The two meet in their final group game in Cairo on Saturday, where a two-goal win for Egypt would leave the sides level on points, goal difference, goals scored and head-to-head record.

"With just such a possibility in mind, and in the interests of fair play, FIFA held a draw at its Zurich HQ on Wednesday to decide the venue of the hypothetical decider," FIFA said in a statement.

Only the winners of the group will qualify for the World Cup finals in South Africa next year.