Bring water to boil in heavy-bottom stockpot. Slowly add grits, stirring constantly.  Reduce heat to low and continue stirring to prevent grits from scorching. Once grits have started to thicken continue cooking over low heat for another 30 minutes, stirring frequently. Add remaining ingredients and continue cooking for about 10 minutes until cheese melts and roasted peppers are well blended. Grits should be very creamy and smooth. If mixture becomes too thick, simply add water, ¼ cup at a time to obtain desired consistency. Season grits to taste with salt and pepper.  Keep covered and warm until ready to serve adding water as needed to maintain creamy consistency.

While grits are cooking, place bacon slices on foil lined baking sheet and place in 350 degree oven until crispy. Remove from oven, drain on paper towels, crumble and set aside. Place oil in heavy bottom saucepan over medium high heat; add shrimp and stir, moving shrimp to sides of the pan. Pour Slather Sauce in the middle of the pan. Sauce will quickly begin to caramelize. Fold the sauce and shrimp together in the pan for about 3 minutes until shrimp are thoroughly cooked but being careful not to overcook.