  The structure of loop corrections is examined in a scalar field theory on a
three dimensional space whose spatial coordinates are noncommutative and
satisfy SU(2) Lie algebra. In particular, the 2- and 4-point functions in
$\phi^4$ scalar theory are calculated at the 1-loop order. The theory is
UV-finite as the momentum space is compact. It is shown that the non-planar
corrections are proportional to a one dimensional $\delta$-function, rather
than a three dimensional one, so that in transition rates only the planar
corrections contribute.
