At least 24 Algerian paramilitary police have been killed in an ambush on their convoy, local sources said.
The convoy was returning to barracks at Bordj Bou Arreridj, southeast of Algiers, after escorting Chinese construction workers to a motorway project, when it came under attack on Wednesday evening, the sources said.
One newspaper, Echourouk, reported that the anti-government fighters set off two roadside bombs and then opened fire on the police, killing them and then stealing their weapons and uniforms.
The attackers fled the scene with arms, weapons and six off-road police vehicles, according to the newspaper.
The ambush was not immediately confirmed by the Algerian authorities but a vast security operation has been launched in the region.
Rise in violence
The government of Algeria, a major oil and gas producer, has struggled for nearly two decades to combat fighters who now operate under al-Qaeda's banner.
In recent weeks there has been a rise in violence across the country.
In late May fighters killed five paramilitary gendarmes and a week later shot dead nine soldiers.
In early June, Edwin Dyer, a British man, was killed by suspected al-Qaeda fighters who had been holding him hostage in neighbouring Mali.
Violence began in Algeria in 1992 when a military-backed government scrapped elections that a radical Islamic party was poised to win.
About 150,000 people have died in the ensuing violence.