I have the LC-1 with the XD-16 gauge and it seems to be a good unit. I think the further you place the O2 sensor from the turbo the better. I've run through a few at the track.
yeah, the older software for the LC-1 would over heat the O2 sensors. From my understanding, they changed the software since then. I had the same set up as you do in my Dinan M3.