Troops and Boko Haram insurgents exchanged gunfire at Auno, a community in Kada local government area of Borno state.
A military source told newsmen that the insurgents invaded the village with gun trucks and tricycles.
“The battle is ongoing as I speak to you. The attackers struck like 15 minutes ago,” he said.
It was gathered that security operatives succeeded in repelling the militants.
The incident comes one week after insurgents tried to invade Maiduguri, Borno capital, but were pushed back by a combined team of air force, police and the army.
Officials of the Nigeria Security and Civil Defence Corps, NSCDC, were later deployed to the Jidarri Polo area of the ancient city, where the battle took place.
The military authorities are yet to react to the latest attack.