"Two unidentified militants were killed in the encounter carried out by the Handwara police and the army's 30 Rashtriya Rifles. An Army Jawan also lost his life in the encounter," said spokesman of the zonal headquarters in Srinagar.
The slain soldier has been identified as Sandeep Kumar.
Unconfirmed reports suggest two more soldiers were injured in the afternoon due to sniper shots from militants at a separate location, but in the vicinity of the encounter site. The army refused to confirm latest injuries.
Two AK 47 rifles and six AK magazines were recovered from the slain militants.