Archive by transcoding is actually bigger than original folder! Need a lesson please

I wanted to do that File>Project Manager>transcode to save space and consolidate and archive.

The archived final material has DOUBLED in size, and each clip within is about 4X original size!  Look, right there PPro is telling me I'll wind up with 2.69 GB (below).  Became 8.75 GB

Below - what settings could change for the better? I only want the used material to transfer.

Further below - I'm on ProRes 422 LT.  I dont even know what those others are.

Thank you !