CANAAN ENERGY CORP
SC 13G, 2000-11-13
CRUDE PETROLEUM & NATURAL GAS
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                      SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C.  20549



                                 SCHEDULE 13G
                   Under the Securities Exchange Act of 1934



                           CANAAN ENERGY CORPORATION
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                                (Name of Issuer)




                                 Common Stock
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                        (Title of Class of Securities)




                                  134743 10 3
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                                (CUSIP Number)




                               October 23, 2000
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            (Date of event which requires filing of this statement)



Check the appropriate box to designate the rule pursuant to which this Schedule
is filed:

     [_] Rule 13d-1(b)

     [X] Rule 13d-1(c)

     [_] Rule 13d-1(d)
<PAGE>

     CUSIP No. 134743 10 3

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     1)   Names of Reporting Persons
          I.R.S. Identification Nos. of Above Persons (entities only)

                       Dunning Family Limited Partnership
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     2)   Check the Appropriate Box if a Member of a Group

        (a)    [ X ]

        (b)    [   ]

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     3)   SEC Use Only

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     4)   Citizenship or Place of Organization
                                   Oklahoma
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Number of Shares                         (5) Sole Voting Power          0
Beneficially Owned by                    (6) Shared Voting Power        411,668
Each Reporting Person                    (7) Sole Dispositive Power     0
With:                                    (8) Shared Dispositive Power   411,668

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     9)   Aggregate Amount Beneficially Owned by Each Reporting Person

                                    411,668
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     10)  Check if the Aggregate Amount in Row 9 Excludes Certain Shares  [    ]

--------------------------------------------------------------------------------
     11)  Percent of Class Represented by Amount in Row 9

                                      8.3%
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     12)  Type of Reporting Person

                                       PN
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                                       2
<PAGE>

     CUSIP No. 134743 10 3

--------------------------------------------------------------------------------
     1)   Names of Reporting Persons
          I.R.S. Identification Nos. of Above Persons (entities only)

                           Dunning Management L.L.C.
--------------------------------------------------------------------------------
     2)   Check the Appropriate Box if a Member of a Group

        (a)    [ X ]

        (b)    [   ]

--------------------------------------------------------------------------------
     3)   SEC Use Only

--------------------------------------------------------------------------------
     4)   Citizenship or Place of Organization
                                   Oklahoma
--------------------------------------------------------------------------------
Number of Shares                         (5) Sole Voting Power          0
Beneficially Owned by                    (6) Shared Voting Power        411,668
Each Reporting Person                    (7) Sole Dispositive Power     0
With:                                    (8) Shared Dispositive Power   411,668

--------------------------------------------------------------------------------
     9)   Aggregate Amount Beneficially Owned by Each Reporting Person

                                    411,668
--------------------------------------------------------------------------------
     10)  Check if the Aggregate Amount in Row 9 Excludes Certain Shares  [    ]

--------------------------------------------------------------------------------
     11)  Percent of Class Represented by Amount in Row 9

                                      8.3%
--------------------------------------------------------------------------------
     12)  Type of Reporting Person
                                       OO
--------------------------------------------------------------------------------

                                       3
<PAGE>

     CUSIP No. 134743 10 3

--------------------------------------------------------------------------------
     1)   Names of Reporting Persons
          I.R.S. Identification Nos. of Above Persons (entities only)

                              Richard R. Dunning
--------------------------------------------------------------------------------
     2)   Check the Appropriate Box if a Member of a Group

        (a)    [ X ]

        (b)    [   ]

--------------------------------------------------------------------------------
     3)   SEC Use Only

--------------------------------------------------------------------------------
     4)   Citizenship or Place of Organization
                                 United States
--------------------------------------------------------------------------------
Number of Shares                         (5) Sole Voting Power          0
Beneficially Owned by                    (6) Shared Voting Power        411,668
Each Reporting Person                    (7) Sole Dispositive Power     0
With:                                    (8) Shared Dispositive Power   411,668

--------------------------------------------------------------------------------
     9)   Aggregate Amount Beneficially Owned by Each Reporting Person

                                    411,668
--------------------------------------------------------------------------------
     10)  Check if the Aggregate Amount in Row 9 Excludes Certain Shares  [    ]

--------------------------------------------------------------------------------
     11)  Percent of Class Represented by Amount in Row 9

                                      8.3%
--------------------------------------------------------------------------------
     12)  Type of Reporting Person
                                       IN
--------------------------------------------------------------------------------

                                       4
<PAGE>

Item 1.

(a)  Name of Issuer: Canaan Energy Corporation

(b)  Address of Issuer's Principal Executive Offices:  119 North Robinson,
                                                        Suite 600
                                                       Oklahoma City, OK 73102

Item 2.

(a)  This Schedule is filed by: (i) Richard R. Dunning, with respect to the
     shares of common stock directly owned by Dunning Family Limited
     Partnership, an Oklahoma limited partnership (the "Limited Partnership");
     (ii) Dunning Management L.L.C., an Oklahoma limited liability company
     ("DM"), with respect to the shares of common stock directly owned by the
     Limited Partnership; and (iii) the Limited Partnership, with respect to the
     shares of common stock directly owned by it.

(b)  The business address of Mr. Dunning is 1606 West Wilshire Boulevard,
     Oklahoma City, Oklahoma 73116.  The principal business address of the
     Limited Partnership and DM is 1606 West Wilshire Boulevard, Oklahoma City,
     Oklahoma 73116.

(c)  Mr. Dunning is a United States citizen. DM is a limited liability company
     organized under the laws of the State of Oklahoma. The Limited Partnership
     is a limited partnership organized under the laws of the State of Oklahoma.

(d)  Title of Class of Securities: Common Stock

(e)  CUSIP Number: 134743 10 3

Item 3.  If this statement is filed pursuant to (S)(S)240.13d-1(b), or 240.13d-
2(b) or (c), check whether the person filing is a:

     (a)  [ ] Broker or dealer registered under Section 15 of the Act.
     (b)  [ ] Bank as defined in section 3(a)(6) of the Act.
     (c)  [ ] Insurance company as defined in section 3(a)(19) of the Act.
     (d)  [ ] Investment company registered under section 8 of the Investment
          Company Act of 1940.
     (e)  [ ] An investment adviser in accordance with (S)240.13d-
          1(b)(1)(ii)(E).
     (f)  [ ] An employee benefit plan or endowment fund in accordance with
          (S)240.13d-1(b)(1)(ii)(F).
     (g)  [ ] A parent holding company or control person in accordance with
          (S)240.13d-1(b)(ii)(G).
     (h)  [ ] A savings association as defined in Section 3(b) of the Federal
          Deposit Insurance Act.
     (i)  [ ] A church plan that is excluded from the definition of an
          investment company under Section 3(c)(14) of the Investment Company
          Act of 1940.
     (j)  [ ] Group, in accordance with (S)240.13d-1(b)(1)(ii)(J).

Item 4.  Ownership.

     A.   Richard R. Dunning*

          (a)  Amount Beneficially Owned: 411,668

          (b)  Percent of Class: 8.3%

          (c)  Number of shares as to which such person has:
               (i) sole power to vote or to direct the vote: 0
               (ii) shared power to vote or to direct the vote: 411,668
               (iii) sole power to dispose or to direct the disposition of:  0
               (iv) shared power to dispose or to direct the disposition of:
               411,668

                                       5
<PAGE>

     B.   Dunning Management L.L.C.*

          (a)  Amount Beneficially Owned: 411,668

          (b)  Percent of Class: 8.3%

          (c)  Number of shares as to which such person has:
               (i) sole power to vote or to direct the vote: 0
               (ii) shared power to vote or to direct the vote: 411,668
               (iii) sole power to dispose or to direct the disposition of:  0
               (iv) shared power to dispose or to direct the disposition of:
               411,668

     C.   Dunning Family Limited Partnership

          (a)  Amount Beneficially Owned: 411,668

          (b)  Percent of Class: 8.3%

          (c)  Number of shares as to which such person has:
               (i) sole power to vote or to direct the vote: 0
               (ii) shared power to vote or to direct the vote: 411,668
               (iii) sole power to dispose or to direct the disposition of:  0
               (iv) shared power to dispose or to direct the disposition of:
               411,668

*DM, the general partner of the Limited Partnership, has the power to direct the
affairs of the Limited Partnership, including decisions respecting the voting
and disposition of the shares of common stock of Canaan Energy Corporation. Mr.
Dunning is the sole manager of DM and in that capacity directs its operations.

Item 5.  Ownership of Five Percent or Less of a Class.

          If this statement is being filed to report the fact that as of the
date hereof, the reporting person has ceased to be the beneficial owner of more
than five percent of the class of securities, check the following:  [_]

Item 6.  Ownership of More than Five Percent on Behalf of Another Person.

          Not applicable.

Item 7.  Identification and Classification of the Subsidiary Which Acquired the
Security Being Reported on By the Parent Holding Company.

          Not applicable.

Item 8.  Identification and Classification of Members of the Group.

          Not applicable.

Item 9.  Notice of Dissolution of Group.

          Not applicable.

Item 10.  Certification.

          By signing below I certify that, to the best of my knowledge and
belief, the securities referred to above were not acquired and are not held for
the purpose of or with the effect of changing or influencing the control of the
issuer of these securities and were not acquired and are not held in connection
with or as a participant in any transaction having that purpose or effect.

                                       6
<PAGE>

                                   SIGNATURE

     After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.

Date:        November 8, 2000

Signature:  /s/ RICHARD R. DUNNING
          ------------------------------------
Name/Title: Richard R. Dunning, individually and as the manager of Dunning
Management L.L.C., general partner of Dunning Family Limited Partnership

                                       7


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