Troops noticed suspicious movement along the LoC in Naugam sector during the intervening night and challenged the intruders, who opened fire, an army official said.
The soldier returned fire leading to the gunbattle in which two militants were killed, the official said.
He said two soldiers were also killed while another was injured in the operation which was going on till last reports came in.
"Two AK rifles, one UBGL and other war-like stores were recovered from the scene of the gunbattle," the official said.
Four militants were killed and one was apprehended alive in a failed infiltration bid on July 26.
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