Norwich City Under-18s began their Premier League Under-18s campaign in winning fashion, coming from behind to beat Chelsea 3-2 at Cobham Training Centre.
In a tightly contested opening quarter, it was the hosts who created the first opening after seven minutes, with Pennie found free inside the area before being excellently denied by City stopper Alvarado.
Six minutes later, the Canaries went close at the other end when Henry Edwards was played through, but the forward fired wide after the Chelsea goalkeeper did well to narrow the angle.
Against the run of play, the hosts broke the deadlock after 19 minutes following a mix-up between Oldfield and Alvarado, presenting Mahoney-Smith with an open goal.
City continued to push for an equaliser, with Ollie Roberson coming closest when his effort was blocked on the line before Samuel Augusto headed narrowly wide from the resulting corner in the 39th minute.
Amid a flurry of chances for the Canaries, Jimmy Unwin's side were forced into a change three minutes before the break when Jake Glossop was forced off with an injury, with Isaac Statham coming on in his place.
The substitute was immediately involved, delivering an excellent ball into the area for Edwards just a minute later, but the forward couldn't keep his effort down from the edge of the area.
Despite creating arguably the better of the chances in the opening 45 minutes, City went into the break behind.
Unwin's side resumed the second half with the same intensity with which they had finished the first, with Steele and Goodson both denied from close range within three minutes of the restart.
The pressure eventually told two minutes later. Goodson won possession high up the field before finding Edwards, who produced a smart reverse pass into the path of Steele on the edge of the area. The winger made no mistake, firing into the bottom corner to bring the Canaries level.
Steele almost turned the game on its head moments later, stinging the palms of Chelsea goalkeeper Collinson with a powerful effort as City continued to threaten.
The hosts were given a reminder of their own threat when Pennie saw an effort crash against the crossbar, before Joseph Kipa, Hugo Collins and Jack Duffy were introduced on the hour mark.
City's pressure continued to build and, with 20 minutes remaining, they were awarded a penalty after Steele was brought down inside the area. The winger duly stepped up and made no mistake from the spot, completing the comeback with his second of the afternoon.
And Steele wasn't finished there.
Ten minutes later, he completed his hat-trick in spectacular fashion, curling an excellent free-kick from the edge of the area into the top corner to put City two goals ahead.
Chelsea halved the deficit seven minutes from time when substitute Anderson's effort took a deflection and wrong-footed Alvarado, setting up a nervy finish.
However, Unwin's side stood firm through the closing stages to withstand the hosts' late pressure and secure all three points on the opening day of the Premier League Under-18s season.
Chelsea Starting XI: Collinson, Ebho (Sambou 80), Henry (Linton 80), Hall, Isago Silva, Dako (Anderson 80), Mahoney-Smith, McGillvary (Badu 57), Pennie (Ampah 73), Grimwade, Faromo-Adebayo
Unused Subs: Ayinde, Murray
Goals: Mahoney-Smith (19), Anderson (83)
Norwich City Under-18 Starting XI: Alvarado, Glossop (Statham 43), Oldfield, Augusto, Munikwa (Akarakiri 68), Sinclair-Brown, Goodson (Kipa 62), Wilkes, Edwards (Collins 62), Roberson (Duffy 62), Steele
Unused Subs: Crane, Bullen
Goals: Steele (50, 71, 80)
HT: 1-0
FT: 2-3
Venue: Cobham Training Centre