trouble copying smart file,(labeled red), to external source

Have LR6 and Windows 10.  When I try to export my smart file to an external source,(external hard drive), it seems that it prompts me to send it as a catalogue.  When I open it, it opens in Lightroom as opposed to separate images.  My goal is to simply export it to a file that I can download to a source such as Shutterfly.  Also, although all of my images were JPEGS some of my editing,(in On One editing) has converted the file to a PSD.

It seems that since upgrading to Windows 10 my workflow requirements have changed and not understanding computers entirely it has become quite frustrating.