Security forces launched cordon and search operations after fire shots were heard in Hajin area of Jammu and Kashmir's Bandipora on Friday.
Meanwhile, bodies of two terrorists along with arms and ammunition and other incriminating materials have also been recovered in Srinagar's Khanmoh area following an encounter between security forces and terrorists after failed weapon-snatching bid on Thursday.
"Bodies of two militants have been recovered so far. Their identities are being ascertained," a police spokesman said.
"Incriminating materials, which include weapon and ammunition, have been recovered as well," he said.
As per reports, a case has also been registered and probe is on.