If you don't want to have to set your LD_LIBRARY_PATH all the time, here's how to install the libraries from the binary package distribution of python-ogre nicely. This worked for me, but someone who knows this all works ought to just check it for dangerous errors ...
A common system-wide place to store libraries (the stuff in PythonOgre/lib) is in /usr/local/lib. you can copy the libraries in there like this:
sudo cp -r * /usr/local/lib
Actually, for some reason, Ubuntu (and maybe Debian in general?) doesn't know to look in /usr/local/lib. Suse, Fedora, others distributions use it automatically, but in Ubuntu you have to set that up yourself. Here's how:
the directory /etc/ld.so.conf.d contains configuration files for the Dynamic Linker, the program that looks for libraries for you.
Create a file in that directory called "local.conf"
sudo gedit /etc/ld.so.conf.d/local.conf
put in the line
and save it.
In the version of Python-Ogre I downloaded, I also had to copy the python packages into the system python directory:
sudo cp -r * /usr/lib/python2.5/site-packages