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Security forces launched a cordon and search operation in the forest area of Namibian and Marsar and the general area of Dachigam this morning, following inputs about the presence of militants there, a police official said.
He said the search operation turned into an encounter after militants opened fire at a search party of the forces, who retaliated.
In the exchange of firing, two militants were killed, the official said.
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Further details were awaited, the official added.