You really need to read the docs, or you're going to run into a lot more problems. This is pretty much the very first section of the upgrade instructions.
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Upload all files from the 'upload/' folder in the zip, with the exception of 'install/install.php'. Then open the 'upload/includes/' folder. In this you will find config.php.new. You should rename this to config.php and then open it in a text editor.
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In that file, config.php, is where you put your database settings.