So I want to offer a contract to a young player, regen, he's 17. I want to give him a youth contract (is that possible) He won't be playing much at all in my first team and that will annoy him, so what should I do?
You would have to offer him a professional contract.
If you don't plan on playing him much yet, make sure his squad status is either 'Decent Young Player' or 'Hot Prospect For The Future' when you offer him the contract.