Two police officers who were critically injured on Friday morning in a terror attack at the Lions Gate in Jerusalem's Old City have died of their wounds.

An additional victim was injured moderately, and is fully conscious. He sustained wounds in his neck and limbs..

Initial investigations show that three terrorists left the Temple Mount armed, and walked towards Lions Gate. They then spotted police officers and shot at them, then escaped back towards the mosques on the Temple Mount.

Police officers chased after the three terrorists and caught up to them, eliminating all three.

A search of the terrorists' bodies revealed a pistol and two Carl Gustav guns.

"Near the Lions Gate, policemen led us to three men injured with bullet wounds," MDA paramedics, Israel Weingarten and Aaron Adler, who arrived on the scene on MDA medi-cycles said. "We noticed three men in their thirties who were receiving preliminary medical treatment from fellow policemen."

"Two were in severe condition, we provided them with lifesaving treatment and in a matter of minutes, transferred them onto intensive care units and evacuated them to the hospital.

"The third victim was fully conscious. He suffered shrapnel wounds to his neck and limbs, and following medical treatment on the scene he was also evacuated in moderate condition."

All of the victims had bullet wounds were evacuated to Hadassah Hospital's Mount Scopus campus.

Public Security Minister Gilad Erdan (Likud) said, "The terror attack today was a severe and serious event The terrorists crossed several red lines. We are still investigating the attack, and we will need to examine the security situation on the Temple Mount and its environs."

"I call on every public leader to work to calm the public and preserve the quiet in Jerusalem."

The Jerusalem District Command ordered the Temple Mount evacuated and all entrances closed. Friday prayers canceled at Temple Mount will not take place, for the first time since 2000.

The area is closed off and police units are at the scene.