Answer: C.
Step-by-step explanation:
A participial phrase is a part of the sentence that has a participle followed by other words that complete an action as it functions as an adjective or modifier in a sentence and is placed at the middle oor the end of a sentence. Option C is the answer. It is not a gerund, the infinitve placing is correct and the phrase doesn't function as an infinitive- the correct version of the sentence is:
'The alarm warned the ship to steer quickly to the right of the rocks materializing from the mist.'