Combine the olives, pine nuts, water, capers, garlic, and 1 teaspoon oil in a blender; process until smooth. Set aside.
Place potato wedges in a shallow 2-quart baking dish. Drizzle with 2 teaspoons oil; toss well. Bake at 400° for 25 minutes or until tender, stirring occasionally. Add olive mixture; toss gently. Bake an additional 5 minutes. Sprinkle with parsley and thyme.