Two militants were killed in an encounter with security forces in Rafiabad area of Jammu and Kashmir's Baramulla district, an Army official said.
The militants were holed up inside a house in Pazalpora village in Sopore township of the district. The Army official said two weapons were seized and operations were still on in the area.
Following intelligence inputs about the presence of militants, security forces had launched a cordon and search operation on Tuesday night. A police official said the search operation was halted for the night but the forces maintained the cordon to stop the militants from escaping.
The operation was resumed on Wednesday morning and the gunfight started after the trapped militants opened fire on the forces, he said.
Earlier, a civilian was injured after terrorists attacked an Indian Army patrol Party in Jammu and Kashmir's Pulwama on Monday. The terrorists opened fire on the Army jawans who were patrolling in the area.
With inputs from PTI.