I have to make an HDCAM for a film festival and I just wanted to make sure that I was rendering out my movie file at the highest settings possible for the transfer. I have to send them a hard drive with the mov file.

Is this correct?

File>Export>QuickTime Movie

Settings>current settings
Include>audio and video
Markers>none
Recompress All Frames (UNCHECKED)
Make Movie Self-Contained (CHECKED)

http://i591.photobucket.com/albums/ss358/johnnypillow/fullres.png

Or should my compressor settings and project be set to 1080p prores 422HQ?

That's correct but what are your project settings?

1920 x 1080 Prores442 (HQ)

You are good to go.