Spike

In this article I explain how to install and use dnsmasq on Ubuntu 9.10 Server.
First of all install the package

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sudo apt-get install dnsmasq

then edit the configuration file

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sudo nano /etc/dnsmasq.conf

and at the end of the file add

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# Exclude WAN interface

except-interface=eth1



# Include LAN interface

interface=eth0



# Set DHCP range

dhcp-range=192.168.111.150,192.168.111.180,255.255.255.0

Comment the except-interface command if you have only 1 network card.
This way you will also have a DHCP server using the IP range from 192.168.111.150 to 192.168.111.180.
To set you list of DNS server edit

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sudo nano /etc/resolv.conf

and write

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nameserver 127.0.0.1

nameserver 83.149.xxx.xxx

nameserver 83.149.xxx.xxx

at first line always set your loopback IP.