The 19-year-old, who made 157 on his first class debut against Western Australia last summer, is one of seven new players given deals by the Blues.
Veterans Simon Katich, Stuart Clark, Beau Casson and Phil Jaques all retired, while Nathan Hauritz, Phil Hughes, Usman Khawaja and Timm van der Gugten have moved interstate forcing NSW to promote several youngsters to the full squad.
Core squad members Stephen O'Keefe, Trent Copeland, Moises Henriques, Ben Rohrer, Peter Nevill, Josh Hazlewood, Doug Bollinger and Steven Smith return for the 2012-13 season but fast bowler Burt Cockley has been de-listed.
Joining Patterson as newly contracted players are Tim Cruickshank, David Dawson, Scott Henry, Daniel Hughes, Josh Lalor and Chris Tremain.
In other changes, all-rounder Sean Abbott has been upgraded from a rookie contract, while Australian under-19 representatives Harry Conway and Gurinder Sandhu receive their first rookie deals.
2012-13 NSW squad: Michael Clarke, Patrick Cummins, Brad Haddin, Mitchell Starc, Shane Watson, David Warner (all Cricket Australia contracts), Sean Abbott, Doug Bollinger, Trent Copeland, Tim Cruickshank, David Dawson, Josh Hazlewood, Moises Henriques, Scott Henry, Daniel Hughes, Josh Lalor, Nic Maddinson, Peter Nevill, Stephen O'Keefe, Kurtis Patterson, Ben Rohrer, Steven Smith, Chris Tremain (Cricket NSW contracts), Nic Bills, Luke Doran, Gurinder Sandhu, Harry Conway, Adam Zampa (rookie contracts).