Two terrorists have been killed in an encounter in Jammu and Kashmir's Kupwara. A security personnel was also injured in the gunbattle in Handwara in the north Kashmir district. Bodies of both the terrorists have been recovered from Kralgund village of Langate area and searches were underway to sanitise the place. Security forces launched a cordon and search operation in Babagund area of Kupwara following information about presence of terrorists there, the officials said.