Operation Underground was established last year to produce a 25-track album featuring a different singer on each song.
''A music collaboration like this has never been done in New Zealand before,'' artistic director Michael Morris said.
''We want to build the music community and introduce these artists to new listeners, which will generate stronger demand for the amazing work they create. We hope that every New Zealand music lover will discover a new range of bands to support and enjoy.''
As part of the project, Operation Underground recently organised the ''Kids Jam'' music workshop at the City Library for children aged 5 to 8, to give children the opportunity to play music with professional musicians.
The $5000 cost of funding the album is being raised through a donation programme. However, the sum has to be reached by July 9, or pledges are forfeited.
''This venture is the first of its kind and we are one small step away from creating something totally unique and special for both music lovers and musicians,'' Mr Morris said.
Pledges can be made at www.pledgeme.co.nz/1034 until 6pm on July 9. Donors are eligible for prizes including signed guitars, concerts, music lessons and recording time.