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Once an hour is good. Just don't let the pan go dry. Leftover sauce should keep for months in the fridge. Go ahead add some more wood ... and have a beer!
dry tough ribs are undercooked ribs
Not sure exactly what went wrong but Stike knows his stuff. The main thing is to relax and have fun with the cook, have a beer, maybe 3 or 4. I'm sure they will turn out better next time from what you've learned and it's best to do new cooks when your not having people over so your not stressed about the results.