Combine olives and the next 6 ingredients (through pepper) in a small bowl.
Remove grill rack, and set aside. Prepare the grill for indirect grilling, heating one side to medium-high and leaving one side with no heat. Maintain temperature at 30
Pierce bottom of a disposable aluminum foil pan several times with the tip of a knife.
Place pan on heat element on heated side of grill; add wood chips to pan.
Place another disposable aluminum foil pan (do not pierce pan) on unheated side of grill.
Pour 2 cups water in pan.
Place grill rack on grill.
Place the oysters on grill rack over foil pan on unheated side, and close lid. Cook for 9 minutes; remove oysters from grill. Top each oyster with 1 1/2 teaspoons olive mixture; serve immediately with lemon wedges.