  We have developed a combined photolithography and electron-beam lithography
fabrication process for sub-\mum to \mum-size Nb/Al-AlOx/Nb Josephson
junctions. In order to define the junction size and protect its top electrode
during anodic oxidation, we developed and used the new concept of an aluminum
hard mask. Josephson junctions of sizes down to 0.5 \mum2 have been fabricated
and thoroughly characterized. We found that they have a very high quality,
which is witnessed by the IV curves with quality parameters Vm > 50 mV and Vgap
= 2.8 mV at 4.2 K, as well as IcRN products of 1.75-1.93 mV obtained at lower
temperatures. In order to test the usability of our fabrication process for
superconducting quantum bits, we have also designed, fabricated and
experimentally investigated phase qubits made of these junctions. We found a
relaxation time of T1 = 26 ns and a dephasing time of T2 = 21 ns.
