Granulomatous variant of rosacea is characterized by firm, yellow, brownish or redish, cutaneous papules or nodules. These lesions are less inflammatory and frequently sit upon relatively normal-appearing skin but sometimes it is diffusely red and thickened. Typically, they are monomorphic in each individual patient affecting the cheeks and the periorifical areas. For diagnosing this form of rosacea, other signs and symptoms of rosacea are not necessary. Diascopy with a glass spatula reveals the lupoid character of the infiltrations. Lupoid or granulomatous rosacea may lead to scarring of the skin.
Differential diagnoses are lupoid perioral dermatitis, lupoid steroid rosacea, sarcoidosis (small nodular form), lupus miliaris disseminatus faciei, foreign body reactions.

An interesting report on Granulomatous Rosacea is found here:

Is demodex really non-pathogenic?

Pena GP, Andrade Filho JS.

Laboratorio Distrital Centro-Sul, Prefeitura de Belo Horizonte, Minas Gerais, Brasil. gilpena@gold.com.br

Although usually considered a non-pathogenic parasite in parasitological textbooks, Demodex folliculorum has been implicated as a causative agent for some dermatological conditions, such as rosacea-like eruptions and some types of blepharitis. Several anecdotal reports have demonstrated unequivocal tissue damage directly related to the presence of the parasite. However, this seems to be exceedingly rare, in contrast with the marked prevalence of this infestation. We have had the opportunity to observe one of such cases. A 38-year-old woman presented with rosacea-like papular lesions in her right cheek. Histopathological examination revealed granulomatous dermal inflammation with a well-preserved mite phagocytized by a multinucleated giant cell. This finding may be taken as an evidence for the pathogenicity of the parasite, inasmuch as it does not explain how such a common parasite is able to produce such a rare disease.
source >
http://www.ncbi.nlm.nih.gov/entrez/q...379&query_hl=1