Four minutes were added at the end of the first half considering there was a change of referee early on.
Waghorn got lucky as the ball fell kindly into his path but he struck straight at Steele from 25 yards, immediately at the other end Buzsaky fizzed just over from just as many yards which certainly had Schmeichel worried.
City responded immediately as Steele expertly tipped a fierce Dyer drive over the bar before Leicester piled into the box forcing a goal-mouth scramble which the Reds eventually cleared.
On 27 minutes the Reds came up with that response when they found an equaliser as an individual error finally cost Barnsley's opponents for once. Schmeichel sent a stray pass out to the left and O'Brien reacted quickest to deliver for Davies, his shot was blocked into the path of Dawson who steered home from 12 yards with a cool finish.
By the 20-minute mark the tempo of the game had died down slightly, but the Reds were in need of a positive result and had to come up with a response.
By nine minutes it was one nil. A Waghorn cross wasn't dealt with by Wiseman, as he cleared poorly into the path of Knockaert who swept home from the edge of the box. Another individual error had cost the Reds.
Cranie headed straight into the path of an onrushing Waghorn with five minutes gone, the winger hammered a solid drive towards the far post but Steele got a good hand to it and turned it around the post for a corner.
It didn't take long for the favourites to go close as Whitbread nodded at goal only for Steele to turn over after Waghorn's decent delivery found the defender completely unmarked at the back post on two minutes.
Strikes from Stephen Dawson and Reuben Noble-Lazarus overturned Anthony Knockaert's ninth-minute opener and it took a 90th-minute strike from Jamie Vardy after City went direct in the last 15. Noble-Lazarus' effort was certainly the pick of the bunch – a fine overhead effort sailing into the top corner was Barnsley's second.
Keith Hill wanted a workmanlike performance from his side for this one – he got that and plenty more from his Red Army who did themselves and the travelling hundreds of Tykes proud but could only return with a point after leading for so long.
Reds 2 (Dawson 27, Noble-Lazarus 39)
Leicester 2 (Knockaert 9, Vardy 90)
The Reds' then made their first change, Akos Buzsaky, who put in a great shift, was replaced by Marcus Tudgay with little over 22 left to play.
Barnsley enjoyed some decent spells of possession and looked comfortable in working their way into the final third.
Leicester made the first substitute of the match with goal-scorer Knockaert replaced by Ben Marshall on 60 minutes.
Dawson was working like a trojan and did well to find Davies after breaking down the Leicester left, Buzsaky then picked up the ball and fired at goal but Schmeichel was equal to it.
Nugent was lucky to stay on the field after raising his arm more than once at Scott Wiseman. The referee booked them both.
As was expected Leicester came out of the traps flying at half time, with the home crowd finding their voice after jeering their side off at the half-time whistle.
Barnsley made their final two changes on 80 minutes, David Perkins making his much-welcome return from injury replaced Jim O'Brien whilst Kelvin Etuhu came on for the Reds' second goal-scorer Reuben Noble-Lazarus.
A glorious opportunity for Barnsley to add a third came thanks to the quick thinking of Luke Steele, he sent Davies away on goal but his last touch was too heavy and he ran out of pitch before he could try and add a third.
Leicester's intent was shown by the introduction of the towering striker Futacs, as he came on for the trick winger Lloyd Dyer – whose pace had been troubling the Reds' defence – with 13 minutes left on the watch.
Scott Golbourne looked to have taken a nasty knock and his side had to deal with a corner whilst he was off receiving treatment. Thankfully the hosts didn't manage to trouble Luke Steele with their one-man advantage.
City piled forward again and went close once more through Marshall with the home crowd roaring their side on. Barnsley hit back and should have had a corner when Davies saw his shot blocked over the bar but a goal-kick was given.
The hosts tried their luck from a free-kick but Steele held well and his side were too looking to hold on just a few more minutes. But they couldn't do it. A long throw-in was eventually knocked into the path of Jamie Vardy who swept home before five minutes of added time was shown.
The Foxes were now throwing everything at Barnsley in desperate search of an equaliser, launching long towards Futacs from every angle. Whitbread went close but his controlled volley sailed wide via a deflection.
When Davies raced onto Tudgay's brilliant flicked header, he was aggrieved to see a flag raised despite timing his run to perfection past Morgan.
Attendance: 23, 579
Fourth Official: Ian Rathbone
Assistant Referees: Mathew Buonassisi and Stephen Ross
Referee: James Adcock
Subs: Hassell, Foster, Alnwick, Sinclair.
Reds: Steele, Golbourne, Dawson, O’Brien (Perkins 80), Davies, Wiseman, Noble-Lazarus (Etuhu 80), Cranie, Greening, Stones, Buzsaky (Tudgay 68).
Subs: Logan, James, Moore, Lingard.
Leicester: Schmeichel, De Laet, Konchesky, Drinkwater, Morgan, Whitbread, King, Dyer (Futacs 77), Waghorn (Vardy 68), Knockaert (Marshall 60), Nugent.
Again the hosts piled forward and Martin Cranie worked wonders to head clear off the line with the home crowd thinking they had found a winner. The full time whistle blew and it felt more like a defeat for the Reds after leading for more than 50 minutes.