Officials at the National Antiterrorist Committee in Russia's North Caucasus Republic of Kabardino-Balkaria say eight suspected militants, including two women, have been killed by security forces in the republic's capital, Nalchik.
According to the officials, four leaders of the Islamic insurgency in Karbardino-Balkaria were among those killed.
Security troops are searching the apartment building where the group was trapped after it refused to surrender.
The area remains sealed by police.
Violence between suspected Islamic militants and security forces in Russia's North Caucasus region leaves dozens of people dead and injured each year.
Based on reporting by ITAR-TASS and Interfax