Howtoforge posted a guide about using KVM on Ubuntu 7.10

In this HowTo I will explain how to install and use KVM for running your services in virtual machines. KVM (Kernel-based Virtual Machine) is a Linux kernel virtualization technique that provides full virtualization by using Intel VT (Vanderpool) or AMD-V (Pacifica).

Using KVM On Ubuntu 7.10 (Gutsy Gibbon)