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White smoke is usually coolant but it takes a lot of it to make smoke and since your coolant level is OK then it must be blue-ish white smoke which is motor oil. If the unit runs good, no missing or dead cylinders and since it's not puffing like one cylinder when it fires and it's not constant (...

Building on Katavic,s thought, Place trans and transfer in neutral and roll the unit, your choice by hand/hill or tow rope. if it still rolls freely shift transfer case into High and see if there is a big difference, if their is I would look at the transfer case if not I would look to the trans...

I am concerned about your statement that your using Lucas Hub Oil - the stuff is thick like honey. Nothing against Lucas that have great product it's more about thick like honey. These hubs use strait cut gears, unlike helical cut gears that tend to pump oil from leading edge to trailing edge...