Hi, I use the pellets in both horse stalls and in my coop but I only have 3 hens so I don't know if that is appropriate for your situation. As far as the horse stalls you only moisten them initially to expand them and then just add plain pellets after that; I'll mix shavings and use the pellets as a base for the really wet horses. Most people don't realize that you are only supposed to wet the pellets to start. The horses take care of wetting them after that!
As far as my coop, I initially bedded it with 2 bags and never wet them and I just keep stirrin it up about once a week (it's about 3 inches inches deep, and it's no where near breaking down). It's very humid here as well, but I have no odor and just, exuse me, some dry turd pieces. There is no dust, but I don't know if it is due simply to the high humidity or the pellets...
That's my experience so far....
Orchidchick