I have done much testing and finally come up with the best ways to export to PS3.
You can export to an HD MP4 file from compressor and make it work on a PS3, but only stereo audio will play.
The best way to get a file into the Playstation 3 in HD is to encode the Video in compressor to a Blu Ray MPEG-2 video file and encode the audio to ac3. Now that you have the 2 seperate files you will need to mux them together into a M2TS stream. This can be done using the tsMuxeR program that is freely downloadable on the web.
That’s it.