What version of Progress?
As Tim says, that's a very odd place for your temp files. How did that happen? My guess is that your working directory is %DLC%\bin.
You're extending the schema area? Why? Did you forget to move all of your data, indexes and LOBs to type 2 storage?
By eliminating all of the AREA information from the structure file you put everything in the schema area.
You probably also did not create a structure file with multiple extents and so forth? Thus there is just the single initial extent.
It also seems likely that you did not enable large files. Which means that once that extent hits 2GB it cannot grow.
So the quick and easy solution is probably:
proutil dbName -C enablelargefiles
Note: this is a terrible way to set setup a database -- don't do it for a real system. But, as I understand it, you are just trying to do a one-time load of this data so that you can export it as CSV data.