Two militants were killed, while two security personnel were injured in an ongoing encounter in Nawakadal area of the city on Tuesday, police said.
The encounter began after security forces launched a cordon and search operation in the area on Monday night following inputs about the presence of militants.
The exchange of fire began around 2 am and there was a lull in firing for about five hours after that. A fresh contact was established with the militants around 8 am, a police official said.
Two militants have been killed in the operation at Nawakadal Srinagar, the official said.
He said the identity and group affiliation of the slain militants was being ascertained.
Two security personnel — a CRPP jawan and a Jammu and Kashmir policeman — were injured in the firing by militants, he said.
The encounter is still underway.
The official said mobile Internet and mobile telephony services, except on BSNL postpaid, have been snapped in the city as a precautionary measure.