...I have never been particularly aware of Elder Scrolls lore. I love the games and what story I know of, but this came to mind earlier while I was on the game. Pelinal Whitestrake was one of the original companions of Ysgramor(sp?) and was a more than able warrior. Why would he not be in Sovngarde after this death? Just the developers not putting him in for "reasons" or was there a true lore-related reason why he would not be there? Something to do with the Eight?

He was an incarnation of Akatosh and possibly a Shezarrine. Or the other way around. If you read the last of the http://www.imperial-library.info/content/song-pelinal, it sounds as if he is ascending to the realm of the gods and most likely being (re)absorbed into Akatosh. So instead of going to Sovngarde, he goes to his aligned Aedra after death. Although you must remember that Pelinal was probably a time-travelling lunatic and also may have been several people. Possibly one of his more Nordic variants is in Sovngarde, but we don't meet him.

Ok, here's a heads up. You are delving into the crazy CHIM orientated part of lore, so be prepared.

Doesn't really have anything to do with CHIM mate. Its more about avatars and demigods walking Nirn.