The deceased were identified as the officer in-charge and constable of Bano Police station, Vidyapati Singh and Tarun Biruli respectively.
A team comprising personnel of three police stations had rushed to the area late last night after being informed about the presence of PLFI militants who were planning to launch an attack, IG (Operations) Ashish Batra said.
When the left wing extremists saw the police team, they began to fire and the security men retaliated.
The militants managed to escape from the spot, the officer said, adding that mobile phones, AK 47 magazines and a diary were seized.
An additional force comprising Special Task Force, state's Jaguar and the CRPF have reached the spot and launched a search operation, he said.
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