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Izale McLeod (right) fired Pompey ahead before Lee Barnard - on loan from Southampton - levelled late on.
Both sides had chances to snatch maximum points, but lacked quality in front of goal, even though City will be more pleased with the outcome than rockbottom Pompey.
Pompey face a 10-point deduction, which would leave them 21st in the table.
Pompey was savvy enough to recognize that if he were to succeed in his plan to exercise unprecedented dominion over Rome and her people, he could not be seen as possessing the traits of a tyrant.
After watching Newcastle and West Brom regain their top-flight spots at the first attempt this season, Smith feels Pompey could do the same.
It will be an uphill struggle in terms of making the appeal but nonetheless we will try," said Pompey administrator Andrew Andronikou.
Pompey should qualify for the Europa League by reaching the final, but they have not applied for a Uefa licence - they are playing purely for the glory and are refusing to go down quietly.
Pompey have been stunned by the decision to pull the rug from deals that could rescue them from oblivion.
Pompey have not identified any specific players for sale, although reports suggest Algeria World Cup star Nadir Belhadj, midfielder Kevin Prince-Boateng and young defender Mark Wilson could be made available.
It booked a place in the quarter-finals but the big question is whether Pompey will still be in existence by then as they will be back in the High Court fighting a winding-up petition from Her Majesty's Revenue and Customs before their next fixture in the competition.
Nigel Hood, representing Pompey in court, claimed there were two "serious" offers to buy the club, one received on the morning of the hearing and another the previous evening.