The Blaze went into the game at the Sky Dome, six points ahead of second placed Sheffield whom they had lost to last night.
Curtis Huppe put Paul Thompson's side ahead in the third minute, only for the Panthers to equalise through Molin, thirteen seconds before the end of the first period.
Nottingham took the lead but Russ Cowley equalised following six minutes of the Blaze being down to three against the Panthers five. KC Timmons will get a game ban for his behaviour.
Into the third period, a goal from Dan Carlson had the Elite League Champions back in front only for Nottingham Panthers to delight their 150 supporters by equalising.
The game went to penalties and Blaze won with Curtis Huppe hitting the winner.
Man Of The Match Again - Trevor Koenig
Blaze will meet Basingstoke Bisons in the final of the Briitsh Knockout Cup after the Hampshire side won 5-2 at Hull tonight for a 7-4 aggregate.
Next Saturday, Blaze visit Nottingham and on SUnday are at home to Edinburgh Capitals.