An exchange of fire took place between terrorists and security forces in a forest in the Kishtwar district of Jammu and Kashmir on Sunday.
A security officials said the gunfight took place when the police, assisted by the Indian Army, launched a cordon and search operation in the Khankoo forest located between Dachhan and Nagseni, following information about suspected movement of terrorists.
They further noted that the hiding terrorists opened fire upon spotting the search parties, who retaliated.
The exchange of fire continued for some time, but there have been no reports of any casualties, the officials said, adding that reinforcements have been rushed to the area.
Search operations are underway to track down and neutralise the terrorists.
This is the second encounter between terrorists and the Army in Kishtwar this month.
In the earlier encounter, no terrorist could be tracked down despite a two-day search operation.
The mountainous region has seen several encounters in the last one year.
On May 22, a soldier was killed in action at Chatroo area after the Army launched an operation against terrorists.
Kishtwar is part of the Jammu administrative province, which has increasingly come under the terror radar. The region that was free from terrorism until a few years ago has become the biggest security challenge and a site of some of the major attacks.