You can create new albums by following 2 steps:
First step: Select multiple photos.
To go to the Select mode, you can either long-clic on a photo or clic on the select button. Then you can clic on individual photos to add them to your selection. You can also swipe through multiple photos to do a fast multi-selection.
Second step: Create new album
You then need to click on the Album button. This will allow you to move or copy your selection to an existing album or CREATE A NEW ALBUM.