As per reports the encounter broke out in Verinag in Anantnag.
Security forces launched a cordon and search operation in Verinag area of the south Kashmir district following specific information about the presence of militants there, the official said.
He said the search operation turned into an encounter after the militants fired on the security forces who retaliated.
The exchange of fire was going on when last reports came in, the official said. The area has been cordoned off. Further details are awaited.
The encounter comes day after 4 JeM terrorists were gunned down by the security forces in Pulwama. Two special police officers also lost their lives during the encounter.
After receiving a credible input, a cordon and search operation was launched by the security forces at Panjran in Litter area of south Kashmir, a police spokesperson said.
He said during the search operation the hiding militants fired at the search party of the forces.
The fire was retaliated leading to an encounter in which the two listed militants and two special police officers (SPOs), who had recently deserted the police force and became members of the proscribed outfit JeM, were killed, the spokesperson said.