The Russian oil giant Gazprom has announced its plans to buy all of Libya's oil and gas exports after a meeting with the Libyan leader.

"Libya positively evaluated Gazprom's proposition to buy all future volumes of gas, oil and LNG (liquefied natural gas) designed for export at market price," said a Gazprom statement, issued after a meeting between its CEO Alexei Miller and Muammar Gadhafi.

Gazprom and Libya's National Oil Corporation (NOC) also agreed to set up a joint venture to modernize the North African country's refineries and to build new ones.

The two sides may cooperate in oil and gas exploration and development, Gazprom said, adding that the Russian company had also agreed to build pipelines from Libya to Europe.

Gazprom and Libya's NOC signed a memorandum of cooperation during former Russian president Vladimir Putin's April visit to Libya.

AKM/HGH