After two days of extensive talks involving FIFA and the Asian Football Confederation to help end the impasse over the expansion of the FFA congress, the stakeholders were twice close to reaching a consensus that satisfied FIFA's requirements only for hopes of an agreement to be dashed.

The crucial talks were overseen by the joint delegation that was sent from Zurich, but Australian football showed no signs of being able to achieve the seemingly simple task of agreeing upon a more democratic, inclusive and representative approach to FFA membership.

It means the joint delegation will report back to FIFA's headquarters without any confidence Australian football can reach consensus as to how it should govern itself, leaving the FFA board facing the likelihood of being replaced by temporary FIFA administrators.

In what were meant to be talks to finally broker a peace deal under the watchful eye of world football's governing body, the stakeholders failed dismally. The delegation was FIFA's final attempt to help the FFA expand its membership from 10 seats (nine for the state federations and one for the A-League clubs) by November 30. The FFA had already been warned that failure to do so would lead to FIFA establishing a "normalising committee" and removing the FFA's board to transition governance on terms it deemed acceptable.

Twice the parties looked to have struck a deal that would have avoided taking Australian football down that uncertain and shameful road, only for a number of state federations to withdraw. Sources involved in the discussions have suggested those states withdrew their support for the agreed 9:5:1 model that would give the states nine votes, the A-League clubs five and the players' union one.

The first agreement was all but reached late on Wednesday night at a private meeting between the clubs, the PFA and the state federations at a hotel near Hyde Park. Sources allege that after hearing news of the deal Lowy called the state chairmen into his Westfield office, where a heated exchange is said to have taken place. The next morning, the deal between the clubs and the states was off.

Talks between all parties resumed at 10am on Thursday morning. The clubs, states and players held private discussions again during the lunch break and returned to FFA's headquarters in unison having again reached consensus, agreeing on specific terms surrounding the 9:5:1 model.

Upon their return, Lowy is understood to have requested another private meeting with the state federations, sidelining FIFA, the clubs and the PFA out of the room. Two of the biggest state member federations - Football NSW and Football Federation Victoria - were already offside with Lowy and his relationship with the clubs was at rock bottom. But now it seems he could run the risk of souring the relationship with FIFA, after the delegates were sidelined from the meetings they had travelled halfway around the world to attend. Sources suggest the delegates were in "disbelief".

More than two hours later, the doors were opened and the clubs, the PFA and FIFA were allowed back into the room, where it was announced the deal was once again off. Enough state member federations had again wavered on an agreement that would have satisfied FIFA's requirement for a new congress and allowed Australian football to move forward.

"We are bitterly disappointed at not having reached consensus with our fellow stakeholders. We are equally disappointed at the obstruction of the process by the FFA board," said Greg Griffin, the chairman of Adelaide United and the Australia Professional Football Clubs Association.

Sources involved in the meetings were furious at Thursday's events, cast an uncertain future over Australian football's governance, with one member describing the situation as "an embarrassment".

An FFA spokesman declined to comment on the private meetings involving Lowy and the state federations.

In a statement, Lowy said: "FFA and the FIFA/AFC delegation have agreed not to make public comment on the details of these proposals while discussions continue. FFA is hopeful that an agreement can be reached to enable the necessary procedural changes to achieve an expanded Congress by the end of November."