Encounter started between terrorists and security forces in Chimmer area of South Kashmir's Kulgam district on Wednesday afternoon.
Officials told that a joint team of Police, Army's 9RR and CRPF had launched a cordon and search operation in Chimmer area after received specific inputs about the presence of some terrorists in the area.
As the joint team of forces approached towards the suspected spot, the hiding terrorists fired upon the forces, triggering off an gunfight.
One of the army officer confirmed the exchange of firing between terrorists and security forces.
Police have also tweeted about the encounter which took place in Chimmer Kulgam 'Encounter started in Chimmer Kulgam Security forces on job tweeted Kashmir police'.
As per the sources two to three terrorists are believed to be trapped in the area and the heavy exchange of gunfire was going on till last reports came in.