Srinagar, Terrorists escaped after a brief exchange of gunfire with police and security forces at Kutpora in South Kashmir's Shopian district, officials said on Wednesday.
The encounter was triggered after the security forces cordoned off the area on the basis of specific intelligence input.
Terrorists threw grenades at the security forces drawing retaliation. But terrorists taking advantage of the darkness managed to escape.
A hideout was busted and arms and ammunition were recovered by a joint team of police and security forces.
"On specific input Security Forces launched a CASO in Kutpora, Shopian. During search, terrorists lobbed grenades on the search party. Search party also retaliated. However terrorists escaped due to darkness. Police and Security Forces busted a hideout inside a house and recovered Arms/Amns," police said.
Meanwhile, an operation has been started track down the terrorists.