Pellets are compounded estradiol or testosterone that are made from organic plant materials, which have the exact molecular structure of those hormones found in the body. They are pressed into a solid compound that is about the size of a cooked grain of rice. Using a relatively painless office procedure, they are inserted under the skin in the hip area. The pellets release small amounts of hormone directly into the bloodstream similar to that which the ovaries and testes produced during our younger adult years.