This article describes how to make a local repository from a RHEL installation DVD.
Warning: RHEL is not a free product.
To get access to the fully up-to-date repositories (RHN) a
paid subscription is needed.
Without this subscription it will not be possible to get security updates and the newest versions of packages.
An alternative for using RHEL would be
CentOS or
Scientific Linux. Both are free and almost identical