The terrorists are said to have lobbed grenades and then opened fire at the training centre located in Awantipora. Four CRPF jawans were killed and several others were injured in the attack.
One of deceased was identified as constable Saif-ud-din Ganai of Nowgam in Srinagar.
The deadly attack at the end of the year came days after the police neutralized wanted Jaish-e-Mohammad terrorist Noor Mohammed Tantray in a counter-insurgency operation at Samboora area in Pulwama sector of the valley.
Personnel from Rashtriya Rifles, CRPF and state police soon cordoned off the camp and flushed out the two ultras.
With one of the three militants who had barged into the CRPF training centre at Lethpora still alive, reports said one CRPF man was killed in renewed gun-battle.
The attack began at 2:00 am on Sunday morning.
Earlier, confirming the storming of the militants into the centre, Director General of Police Dr S P Vaid said "Yes, the challenge in Kashmir has always been there". He asserted as long as Pakistan kept sending militants, security forces and people of Kashmir would continue to go through such turmoil. As the JeM's "divisional commander" in South Kashmir, he was reported to have played an instrumental role in reviving the outfit. The casualties were suffered in the initial attack by the militants, the sources said.