I liked it. It is definitely in the spirit of Faerie Tales of old. I will say that the exceptionally long paragraphs took a while to get used to. I don't know if you should change that, by the end it was fine, it just took some adjustment. Also, the learning curve is rather steep as a lot of names, places, and races are bandied about. The story is intriguing and well written, so it kept me reading until my mind acccepted all of the different tags. I will leave it up to you if you want to whittle them down or leave it as it is.
Really, the only critique I have is a few writing errors.
In one of the beginning paragraphs you're talking about the giants and the sentences are all "were" this and "were" that and then you have a sentence:
And to make a hard situation yet more fell, men at sea cannot gather nor mill, neither can they sow.
I think it should be could not gather nor mill, neither could they sow. That way you have the same tense throughout.
This line towards the end made no sense, I think you left a word out by accident:
Aellir's slight and the princess, obvious dislike filled Goeener with a cold and calculating rage.
Really, that's about all I can offer as a critique. I liked the story, it was well written and for those who have any background knowledge in the lands of Fae, the older characters were recognizable, which is always nice. I'm not sure what you could do with a story like this as far as publishing goes. Perhaps if you were to keep adding stories in this same world and hold them until you're published somewhere else. I could see a recognized author being able to release a collection of faerie tales. Either way, well done!