Lots of other posts on this subject in this forum
Yes it can - but
My first attempt played on other players except my new Pioneer player. (Full HD)
The video on the disk was perfect on my computer.
I copied the file produced on the Blue Ray disk and used a simple authoring program (PowerProducer that cam with my burner) to burn another disk.
This plays perfectly in everything.
The only thing I can think of is that my LG player can write at 8x but I only had 4x blank disks (they are much cheaper). PE9 does not have any speed setting so perhaps the "grooves" werent burnt deep enough??
or the name of the main folder on a PE9 burnt disk is different - maybe my player did not like it??
I have a similar computer setup to you except you definately need at least 2 hard drives. The video on one and the project on a second one.
You need a good fast video card for HD smooth preview, not just the one on the motherboard.
Also look at recent posts on memory settings for resources.
I split my raid up to 2 seperate disks and installed a third large disk for video capture files
OS & PE9 on C
Video on E
Project and adove cache files on F
LG computer burner is available for around $100
At this time, there is no feature in Premiere Elements for burning BluRay video to a DVD disc. Sorry.