At least 19 Maoist rebels have been killed when the Nepali army raided a guerrilla camp.
Violence has escalated since the Maoist guerrillas, who are fighting to establish a communist republic in the Himalayan kingdom, walked out of peace talks and broke a ceasefire last August.
A spokesman said the rebels were killed on Friday in Dhiman, 200 kilometres southeast of Kathmandu in Nepal's southern plains.
The rebels, who in the past have mainly fought in the hills, have recently begun targeting the agricultural and business districts of the southern plains. They have attacked government installations and targeted mainly army and police in their revolt, which has claimed more than 8,800 lives since 1996.
The uprising has crippled Nepal's economy and scared investors away from the nation, tucked between Asian giants, China and India.