DVD9 (8gb) is a Dual Layer dvd. I use Roxio's Toast to burn things on a mac:

http://www.roxio.com/enu/products/toast/default.html

But you need a dvd burner which understands dual layer media, then you need some dual layer media.

In VLC, there is a playlist option or you can often drag/drop the .ISO into the playlist. Or if you've already expanded the .ISO, then drop in the .ts's you've mentioned. There will probably be a slight pause as it transitions from one .ts to the next.

Another option is to seek out the DVD5 (4gb) version, or take the DVD9 version and shrink it. There will be quality loss, that's the price of smaller file size.