Meridian first started sponsoring the team in 2000 and has been rewarded with the side's outstanding successes at national level, despite being one of the smallest unions.
However, neither Meridian nor the union would reveal yesterday how much the deal was worth.
Union chief executive Colin Jackson said the relationship with Meridian was "significant and invaluable".
"We are one of the smallest unions in New Zealand, but we are also one of the most successful.
Meridian's support plays a large part in our success," he said.
The North Otago team is the current Heartland champion and the provincial team has made the semifinals or better every season for the past nine years.
Colin Jackson said the union's development policy played an important part.
Support from Meridian would be used to fund an ongoing programme to develop young players.
Meridian sponsorship manager Mel Seyfort said sponsoring North Otago was appropriate due to the important role rugby played in the community.
"Rugby is a huge part of the lifestyle of the North Otago community.
It is really something that everyone gets involved in and the union is working extremely hard to increase junior and senior playing numbers," she said.
While Meridian is one of the union's major sponsor, Summit Wool Spinners Ltd has the naming rights on the team's jerseys.
North Otago starts its season with a Ranfurly Shield challenge against Auckland, in Oamaru, on July 22.
The North Otago championship season begins at home against Horowhenua Kapiti on August 23.
Seventeen players have been selected for North Otago's tour of Japan in November.
Seven more players are yet to be named.
The team departs on October 31 and plays teams from NEC, IBM and Suntory before returning on November 14.
North Otago squad
Players selected to date: Toe Hausia, Palennia Mafi, Fraser Fletcher, Aisake Fonua, Taua Tahaafe, Ross Hay, Joe Mamea, Samisoni Tongo Tongo, Nick Webster, Jeremy Te Huia, Hamish McKenzie, Ekeroma Sefo, Siaosi Falau, Lotu Tonga, Josh Collier, Mike Mavor and Jason Forrest.
