I ended up working on this 4 times, since resources were being gouged, and I didn't understand a few things along the way.
I've figured out how to do this now, 1 step at a time, and limit the computer resource usage to a minimum.
It still eats up about 250 GB of disk space to accomplish this, 50GB per pass.
Since each pass creates new files, I had to recognize that the image container from the previous pass had to be removed, and a new one created with the last passes results. Plus, I then could remove the 50 GB's of files from the previous pass input, to free up storage.
I wasn't going to run out of storage with 4TB's, but I realized the interim steps weren't needed after the 3rd pass, and just removed the previous ones.
The final video was only 180 MB in MP4 format, before uploading to YouTube.