The Algerian plane crashed in a mountainous area in Oum al-Bouaghi province, said private TV station Ennahar.
Its source said that contact was lost with the military plane between Constantine and Oum al-Bouaghi.
There are reports that the plane was carrying military personnel and family members.
There has been no official confirmation from the army as yet.
Ennahar reports that ambulances have been dispatched to the crash zone, which is some 240 miles east of the capital Algiers.
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