Fin Resources (ASX:FIN) said it will raise up to AU$445,000 by issuing convertible notes, subject to shareholder approval, according to a Tuesday Australian bourse filing.

It will issue AU$425,000 in convertible notes to sophisticated investors, while a non-executive director plans to subscribe for a further AU$20,000 worth of convertible notes on the same terms, the filing said.

The notes will be issued at a purchase price of AU$1 per note and will mature 12 months after the purchase date.

It will use the funds for ongoing project-related working capital, corporate and administration costs, as well as project evaluation costs, per the filing.

The firm's shares fell 14% in recent trading on Tuesday