Cut the 1-inch by 6-inch lumber into six lengths of 12 inches and cut the 1-inch by 3-inch lumber into six lengths of 24 inches.
Measure the exact thickness of the 1-inch by 3-inch lumber --- in real terms it will probably be closer to about 3/4 inch thick than 1 inch.
Set the dado into the table saw. A dado is a specially designed cutting tool that goes between the blades of a table saw used for cutting precision grooves or slots into wood. Read the dado instruction manual and take any safety precautions specified.
Set the dado to cut grooves (known as dadoes) of 1/2 inch deep and as wide as the exact thickness of the 1-inch by 3-inch lumber.
Measure in 1 inch from the end of the 1-inch by 6-inch lumber pieces and mark this position across the planks. Cut a dado at the 1-inch mark on both edges and at both sides of the planks, so that there are four, 1/2-inch-deep grooves as wide as the thickness of the 1-inch by 3-inch planks in each of the 1-inch by 6-inch planks.
Repeat the dado procedure an inch from either end of the 1-inch by 3-inch planks, only this time cutting 1/2-inch-deep and as wide as the thickness of the 1-inch by 6-inch planks.
Attach a 3-inch hole saw to the drill. Cut five, 1 1/2-inch-deep crescents evenly spaced along one edge of three of the 1-inch by 3-inch planks. These depressions in the side will hold the base of the wine bottles
Attach the 2-inch hole saw and cut five, 1 1/2-inch-deep crescents in the remaining three planks, evenly spaced. These depressions will hold the wine bottle necks. Sand all the components, then paint on a coat of tung oil. Rub the wood over with a rag to remove excess tung oil.
Place two of the 1-inch by 6-inch planks 23 inches apart and slot one of the 1-inch by 3-inch planks with the larger crescents into one end, dado cuts mating to secure the piece in place, and one of the 1-inch by 3-inch planks with the smaller crescents into the other end, dadoes mating to set the piece in place.
Set another two 1-inch by 6-inch pieces across the top of the 1-inch by 3-inch planks, dadoes mating, and another two 1-inch by 3-inch planks as well. Repeat with the remaining planks to finish the wine rack. This will store 15 bottles at a time, but if more storage is needed, simply make and add on another couple of levels.