Sauté bacon in a medium saucepan over medium-high heat until crispy and browned, about 5 minutes. Remove bacon with a slotted spoon and drain all but 2 tablespoons of fat from pan.
Add oil to pan and place back over medium-high heat. Add onion and garlic and sauté for 3 to 4 minutes. Season with salt and pepper. Stir in thyme and sauté for an additional 2 minutes.
Add the cooked bacon back into the pan followed by the remaining sauce ingredients and stir until fully combined.
Turn heat down to medium-low and simmer for 30 to 40 minutes, stirring occasionally. Pour sauce into a blender and puree until smooth or desired consistency has been achieved.