TIRANA, Albania—Albania has sold its state-owned Albpetrol oil company for (EURO)850 million ($1.1 billion) to the U.S.- and Singapore-based Vetro Energy consortium.

Prime Minister Sali Berisha says the deal will also allow Vetro Energy to explore and exploit offshore oil and gas fields, build a refinery, and transport and distribute natural gas in Albania for 25 years.

The agreement was announced Wednesday following a bidding process.

Albpetrol, based in Patos, 75 miles (120 kilometers) south of the capital Tirana, has valued its assets at about (EURO)320 million. These assets include six oil fields, four gas fields, and 3,000 oil wells out of which around 1,200 are in operation.