In terms of using smaller clips in a project file, much easier to manage. Making them from a large file involves breaking them down into smaller ones. Suppose you do this
Part 1
- import 2 hour clip into timeline.
- decide to make 4x 30 minute sub-clips from it
- cut original clip at an appropriate point about 30 minutes in (eg, at scene change)
- delete the 90 minutes part (note only affects the vsp, not original clip)
- render using modified name eg 'clipname'_1
- repeat 3 more times for the other 3 segments, changing the rendered name each time
Part 2
Now, in a new project space, you can import each one separately into the timeline and edit it, no long time drags, or issues with extended timelines, and render with editing included, to suit your particular needs. When finished editing, again in a new project space, add the four edited and rendered files to the timeline in sequence and render the whole collection back into a single file again. If you are comfortable with the process, you could save some time by combining editing with the original cut and save for each sub-clip in part 1.