The sources, who requested anonymity, said two high-ranking officers and five police escorts came under attack Tuesday while traveling in their car.
The militants reportedly fired shots at the security officials which led their car hit an oil tanker in a head-on collision, and the car went up in flames.
The attack occurred while the security officials were on an inspection mission to places believed to be hideouts of al-Qaeda close to Sayon city of Hadramout province.
Al-Qaeda insurgents have been active in the region and are gaining strength.
Earlier this year, al-Qaeda militants in Saudi Arabia and Yemen united ranks and merged together to form al-Qaeda in the Arabian Peninsula aimed at expanding the scope of terrorist attacks in the region.
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