Using str_replace with text file

[datona]

i am wondering if this can be done:

Have variables passed from a form to php
(ex. $name, $phone, $city, $state, $country, etc....)
Load a template text file
Use str_replace(?) to replace ALL variables passed in the text file
Output textfile for an email.

I would like to have it so it would just:

do a 'foreach' variable

it would replace ALL like: {name} {phone} etc... with the actual variable.

What I want to do is use a template text file as the body of an email.

Thanks for the messy example

[dalecosp]

form.html:

<form action="mail.php" method=post>Type your name:<input type=text name=the_name><br>
<input type=submit name=submit value="submit"></form>

mail.php:

<?
$to="[e-mail]";
$subject="form mail from my website!";
include 'form.php';
mail($to, $subject, $message);
?>

form.php:

<?
$name=$_POST['the_name'];
$file="myfile.txt";
$fp=fopen($file, 'r');
$message=fread($fp, filesize($file));
// file must contain keyword, such as "The_name"
$message=str_replace("The_name", $name, $message);
?>

Short example, prolly some errors, but sound principle...oughtta work, methinks....