The encounter erupted in Bumdoora village of Kokernag in the district after a joint team of police and army launched a search operation on the basis of specific intelligence inputs about the presence of militants, a police official said.
While the security forces were conducting the search operation, the hiding militants fired at them, triggering the gunbattle, he said.
The firing was going on when last reports came in, the official said, adding so far there was no report of any casualty in the gunfight.