"This was a quality example of coordination between the forces, which is why the operation was completed at the earliest. There was also no collateral damage," said top Kashmir police officer Munir Khan.

The terrorists in military fatigues entered through a cut in the fencing and breached multiple layers of security at BSF's 182 battalion at 3.45 am, when it was still dark. They fired indiscriminately and threw grenades. The soldiers retaliated and shot down one attacker.

In the next few hours, the forces killed two more terrorists hiding in the sprawling, hilly BSF camp, which shares a wall with an air force station.

Home Ministry sources say there were intelligence inputs of an attack by Jaish terrorists.

The Jaish e Mohammed is believed to have sent over two dozen suicide attackers or Fidayeen, who crossed over to India through the Jammu sector in August, sources say. Three terrorists were shot dead in Pulwama in August and three have been killed today, till now. Sources fear that "three or four" terrorists are still roaming free.

Terrorists were sent from across the border as the local terrorists' backbone has been broken over the past few months, home ministry officials say. A big indicator is that local support and stone throwing at forces - which had become common during encounters with terrorists - has come down dramatically.

"Fidayeen attacks cannot be prevented, they can at best be contained, which the forces have done in this case," said an official.

Gunfire and explosions were heard for hours as the forces, including Quick Action Teams and members of the Special Operations Group, fought the terrorists and cornered them.

Home Ministry sources say it is extremely worrying that the terrorists were able to cut through multiple layers of security in the most protected area of Srinagar. The BSF camp is also close to the technical airport used by the armed forces and VIPs.