Hello!
I was browsing quantity of blogposts and topics on this forum, yet I still cannot solve my problem. So if anyone can help me with some advice, I would be very happy.
I have one ATMEGA8L-8PU chip I'd like to burn an arduino bootloader on.
I have set it up according to this scheme:

I used 8Mhz crystal and 22pF caps.
According to many advices around I have disabled the autoreset by putting a 120ohm resistor between +5V and reset.
I've successfully uploaded the ArduinoISP sketch to the Duemilanove board and I saw the 'heartbeat' on the 9th pin. So the ISP was working.
Than I've selected 'Arduino NG or older w/ ATMEGA8' option from board menu and tried to burn the bootloader.
This is where the problem starts. I see RX and TX diodes flashing (2x cca for 1 second) and than I receive an error "avrdude: stk500_recv(): programmer is not responding".
Thank you very much, any help will be appreciated.