Create and Cancel buttons at the bottom make sense. They also make sense to be at the top (center) of the Create Issue page. Above the Project field and below the "Step 2 of 2" text.

Main reason is that if the fields most frequently filled are at the top, they can be filled in and the issue created without having to scroll to the end of the page to hit the Create button. (Assuming there are enough other fields that are presumably optional, that cause the page to be so long that the user would have to scroll to see the buttons. <g>)