This information has been sourced from the owncloud documentation. owncloud Documentation
The following has to be added to the /var/www/owncloud/config/config.php file if you would like owncloud to send password reminder emails. I have created my own mail server and therefore I will be using the SMTP method. I created a login account on my mail server for owncloud and then entered the required information so that owncloud authenticates to the SMTP service on the mail server (Postfix). SSL is used because the mail server is not the same server as the owncloud server and we do not want to send plain text across the internet (It wouldn't be accepted by the mail server anyway).
"mail_smtpmode" => "smtp",
"mail_smtphost" => "example.com", //Mailserver address
"mail_smtpport" => 587, //The port number
"mail_smtptimeout" => 30,
"mail_smtphost" => "example.com:587", //Mailserver address followed by :port
"mail_smtpsecure" => 'ssl',//SSL is needed to encrypt the login information
"mail_smtpauth" => true, //Yes authentication is used
"mail_smtpauthtype" => "LOGIN",
"mail_smtpname" => "username@example.com",//Your username, normally the email address
"mail_smtppassword" => "password", //The login password for the user
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