MOSCOW, March 29 (RIA Novosti) -Two militants were killed in a special operation in the Republic of Chechnya in Russia's troubled North Caucasus region, with no casualties reported among federal troops, a local police source said on Sunday.

The combat engagement occurred Saturday afternoon in a wooded area near the village of Akhkinchu-Borzoi in the Kurchaloi district, 30 kilometers (18 miles) east of capital Grozny, when the federal troops encountered a group of 15 militants, the police source said.

Special measures are continuing to seize the remaining militants, the police source said.

Russian President Dmitry Medvedev ordered on Friday the Federal Security Service (FSB) chief to consider formally ending the counter-terrorist operation in Chechnya.

Russia has been conducting its counter-terrorist operation in Chechnya since September 1999. The operation includes the deployment of special police units, frequent police sweeps, and heightened security at key facilities.

Chechnya was devastated by two military campaigns, in 1994-1996 and 1999-2001, after which Moscow significantly scaled down its military presence in the republic.