Theme Development

I am trying to design a WordPress theme from an existing HTML theme. I have a general idea of what I need to do but I am having issues figuring out what part of the index needs to be in what .PHP file, header.php, footer.php, etc.

the site is http://dev.qitup.3gsaz.com/

the theme I’m trying to mimick can be viewed
http://www.dreamtemplate.com/templates/7758/seadream—responsive-website-template.html

And the index.html

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