Despite substitute Peter MacDonald’s heart-stopping equaliser, Jim McInally’s side are two points clear of second-placed Clyde, who trounced Queen’s Park 3-0 at Broadwood.
The league leaders went ahead shortly before half-time when Jack Leitch fired home Rory McAllister’s pass. However, it was just past the 90-minute mark when sub MacDonald’s left-foot finish put the champagne back on ice.
Clyde kept up the pressure and also bit into Peterhead’s better goal difference after a customary contribution from top scorer David Goodwillie and late strikes from Ally Love and Ray Grant gave them a third straight win.
At the other end of the table, Berwick Rangers must survive a play-off against either East Kilbride or Cove Rangers if they are to retain their league status following a 3-0 Shielfield thrashing at the hands of their relegation rivals Albion Rovers, a Gregor Fotheringham double and a penalty from Gary Phillips ensuring Albion’s safety.
Edinburgh City and Annan Athletic are still vying for third place after City dropped points to Elgin City at Ainslie Park. Elgin sub Owen Loveland made it 1-1 in the 87th minute with his first touch of the ball, leaving City requiring one more point at Stirling next week.
Aiden Smith scored twice for Annan in a 3-2 win over Cowdenbeath.