The incident occurred after the Taliban insurgents launched an ambush at a convoy of the Afghan national security forces in Andar Dara district.
Death of the senior Taliban leader along with his ten fighters were confirmed by provincial police Chief Toryalai Abadyani.
Also he added, the deceased Taliban leader has been identified as Mullah Bismillah who was appointed as shadow district governor of Posht Koh district, and ten Taliban militants were also injured during the gun battle which lasted for almost one hour.
One Afghan police was also sustained injuries during the clashes and four vehicles of the Taliban militants were smashed according to Abadyani.
The Taliban group are yet to comment on the report.