Fifteen passengers were killed on the spot, a police official said, adding that the injured had been rushed to a nearby hospital.
An AK rifle along with four magazines and a mobile phone were recovered from the slain militant.
In a case of mistaken identity, the army on Saturday shot dead two civilians while another was killed by a stray bullet in Kupwara district, a defence spokesperson said in Srinagar.
The police, assisted by Rashtriya Rifles, raided Neloora village of Pulwama district to flush out the hiding militants
These children hail from most militancy-infested areas of Gul, Mahore, Dharmani and Buddhal tehsils in Udhampur and Rajouri districts of the state.
Troops of 55 Rashtriya Rifles and the police launched a joint operation at a village in Pulwama district on Friday night.
The Sena medals for gallantry were awarded to armymen by Army Chief General J J Singh on Monday.
The grenade was aimed at a security patrol but lost its mark and exploded on a road.
At least 2 CRPF trooper was dead on Saturday in a suspected militant attack on a forces' convoy on the Jammu-Srinagar highway near EDI Pampore. A CRPF spokesman Bhavesh Choudhury said that 10 others were injured in the attack.
Self-styled divisional commander Bilal Habshi, was wanted in over 100 cases of killings, including those of policemen.
Police registered an FIR against the army personnel involved in the incident.
About 5,000 youth of Jammu and Kashmir are undergoing training in different militant camps in PoK.
In another case, the bullet-riddled body of an armyman was found at Daraba in Poonch sector with police saying the jawan died under "suspicious circumstances".
A soldier shot dead a Junior Commissioned Officer and another jawan following a heated argument at a Rashtriya Rifles camp in Anantnag district of Jammu and Kashmir
In a pre-dawn operation, security forces shot dead a self-styled deputy chief commander of the Harkat-ul-Mujahideen in an encounter at Alasteng on the outskirts of Srinagar.
It is not a good sign that the brave men were killed in one go on India's own land, an editorial in Sena mouthpiece Saamana said, adding that this happened when a strong and quite patriotic government is in power at the Centre.
The macabre deed was done by militants of the banned Hizbul Mujahideen.
On sustained questioning, the SSP said, the trio admitted they are working for Hizbul Mujahideen terrorist outfit and were luring young boys into militancy.
The jawans had to take shelter in the tunnel to protect themselves from avalanches.
Residents of Handwara town in Kupwara district have accused Rashtriya Rifles personnel of \nraping a mother and her 12-year-old daughter.
Six militants were killed on Friday in two encounters with the security forces in Baramulla and Kupwara districts of Jammu and Kashmir, a defence spokesman said.
Army man Hanamanthappa Koppad, who survived for six days buried under tonnes of snow, is a highly-motivated soldier and has served in difficult areas for 13 years in the army.
The slain militants are reported to belong to the district.
A Hizbul Mujahideen terrorist, who was seen in a video taken during the funeral of outfit commander Sabzar Bhat last week, has surrendered before authorities in Kashmir, the police said on Wednesday.
A suspected Lashkar-e-Tayiba terrorist was killed on Thursday in a brief gunfight with security forces in a village in Pulwama district of south Kashmir, police said.
The state government had a change of mind after announcing a grant of Rs 200,000 for his family, besides widow pension amounting to Rs 1,275 per month.
'All commanding officers and their superiors are sure to have taken note of the betrayal that killed Colonel Rai. Corrective measures will be taken quickly. And the Indian Army will continue to do its duty without rancour and remorse.'
There were no casualties or injuries in the attack on a Rashtriya Rifles camp in Bandipora.
Pakistan dropped weapons and some cash in Indian currency using a drone in Jammu and Kashmir's Rajouri district, Director General of Police Dilbag Singh on Saturday said, announcing the arrest of three Lashkar-e-Tayiba terrorists who had picked up the consignment near the Line of Control.
'A tiger knows his territory in and out.' 'A tiger demarcates his terrain and never lets anyone enter.' 'Similarly, Ashu knew the trees, houses, rivers and rocks of the Rajwar jungles.' 'He didn't allow any militant to come into his territory.'
Two Hizbul Mujahideen militants were on Thursday gunned down in an encounter with security forces in Shopian district of Kashmir, the police said.
The team of 21 Rashtriya Rifles had entered the house of a civilian to prevent a hostage situation when they came under attack from the terrorists who had already reached there. While the four army personnel and the police Sub Inspector lost their lives in the encounter, the civilians trapped in the house were safely evacuated.
Aurangzeb was abducted when he was on his way home in Rajouri district for Eid celebrations.
Burhan Wani, the top Hizbul Mujaheedin commander was the poster boy of the outfit and was active in south Kashmir.