Heavily-armed terrorists wearing combat uniforms attacked an army base in the heart of Jammu early on Saturday morning, NDTV reports.
The terrorists had managed to enter the family quarters in Sunjuwan Army Camp, kill two soldiers and injure nine others, including women and children.
It is not clear how many terrorists carried out the attack but three of them, belonging to the Jaish-e-Mohammed, have been killed.
"The operations will continue till all terrorists are apprehended or killed," the Army said about the counter-offensive that has continued for over 24 hours.