Welcome to the forum.
One method, and one often used by professional editors, is to Import the Clip, allow any Audio Conforming to complete 100%, then Dbl-click on that Clip in the Assets Panel. That will Open that Clip into the Source Monitor, where one can use In & Out Points to Trim from that Clip. One can do that for many segments of that same 2 hour Clip. When the first segment has been set with its In & Out Points, one can drag that segment to the Timeline. Then, the In & Out Points can be reset, and THAT segment can be dragged to the Timeline. While those are Instances of that original Clip, only the data between the In & Out Points will appear on the Timeline.
Some folk like to drag the full Clip to the Timeline, then Razor/Scissor it apart, Deleting and Closing Gap, for the parts that are not wanted, but most professional editors use the Source Monitor and the In & Out Points to create Instances of just the material that they need.
Please check out my blog post "Project Assets Organization for Scene and Highlight Grabs from Collection of Video Files".
I worked through the described scenario for another Premiere Elements user back in June 2013, and it worked well for him.
Please let us know the outcome.
A quick review of the blogspot seemed to have the answer. I will let you know in more detail next week
When I get back to my video editing.
Thanks in advance
I will give it a try, thanks bill