I personally dont think 20-40 nitrate would have killed the shrimp. At one point, the nitrates was off the chart in my tank, yet everything was alive (fish, sps, inverts). Most of my sps was brown, but they were alive.
Also it will take awhile before the pellets start bringing down the nitrates. In my experience, its takes atleast a few weeks to start seeing changes. Id just recommend proper water changes.