That's the predatory gall midge. Not sure how available they are commercially, but here's a link on them.

Here is a link that might be useful: Predatory Gall Midge

I broke down and decided that if I didn't do anything my Incense was going to die anyway, so I bought systemic pesticide granules. It has been just over a week and the plant is still alive. I will be checking on the mites in the next couple days and I'll post what I find.

~Chills

Chills, I don't know how many different things you've tried, but often a simple mix of detergent and water sprayed on a plant will make it so distasteful buggy pests will leave it alone. We've had fairly good success with this on my wife's roses and other plants around here. The drawback, of course, is that any additional moisture (rain, heavy dew, sprinklers) washes the soap off and exposes the plant to attack again. So you have to reapply regularly.

I'm not above using pesticides, but I do try to limit my use of them when I can. ;-) Good luck with those spider mites!