AKIPRESS.COM - Gunfire and explosions shook the Paris suburb of St. Denis early on Wednesday as French police surrounded an apartment where a Belgian Islamist militant suspected of masterminding last week's attacks in the French capital was believed to be holed up.

A woman died after detonating a bomb at the scene, the French prosecutors' office said, adding that three people in the apartment had been arrested and two others seized nearby, reports Reuters.

A judicial source said a second person had died in the pre-dawn raid, but there was no immediate official confirmation.

Heavily armed police and soldiers filled the streets of St. Denis, schools and shops were shuttered and residents in the heart of the district were ordered to stay at home.

Police and justice sources said the target of their operation was Islamic State militant Abdelhamid Abaaoud, who was initially thought to have orchestrated Friday's deadly Paris attacks from Syria.

Five hours after the first gunshots rang out in St. Denis, there was still no confirmation that he was in the area.

Local residents spoke of their fear and panic as the shooting started just before 4.30 a.m. (10.30 p.m. ET).

"We could see bullets flying and laser beams out of the window. There were explosions. You could feel the whole building shake," said Sabrine, a downstairs neighbor from the apartment where at least one gunman was still believed to be holed up.

She told Europe 1 radio that she heard the people in the flat above talking to each other, running around and reloading their guns.

"I tried to hide my son beneath me but each time there was shooting he was clawing at my skin," she said, adding that police eventually managed to get them to safety.