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A fierce gunbattle erupted after security forces responded to a major terror attack on the army guarding the strategic highway this evening.

Two militants were killed and a soldier and a civilian injured in an encounter which ensued after an Army convoy was attacked by Lashker-e-Toiba (LeT) on Srinagar-Jammu national highway in Kulgam district on Monday afternoon. The sources in army told Mirror that after the attack on the army patrol at Bounigam that left one soldier dead, the terrorists fled and took shelter inside a building.

"The gunfight began after contingents of army and police cordoned off the locality especially the suspected house", Ghulam Hassan, a local told Xinhua.

"The search operation is on", he said in a tweet.

Militants opened fire on an Army convoy, which was on its way to Srinagar, at Qazigund, a police official said. The security forces fired tear-smoke shells and pellets to disperse them.

The house in which the militants were hiding was razed to ground during the gunfight.

Meanwhile, people, mostly youths hit the streets, trying to disrupt the search operation in the area. "When last reports came in the intermittent firing was going on".