Final answer:
Ferdinand de Lesseps knew about the strategic importance and potential for a canal in Panama but underestimated the geological and health challenges that led to the failure of the French attempt to build the canal.
Step-by-step explanation:
Ferdinand de Lesseps was cognizant of the strategic importance of Panama and the potential for a canal in the region, which aligns with option C. He was aware of the potential for a canal in Panama, following his success with the Suez Canal. His French team attempted to construct a sea-level canal in the 1880s but faced insurmountable challenges, including tropical diseases like yellow fever and malaria, heavy tropical rainfall, and harsh geography, which led to the tragic loss of over 20,000 workers and the ultimate failure of the project.
De Lesseps's vision for Panama also failed to consider the geological challenges, suggesting a lack of awareness of the hilly topography, which made a sea-level canal impractical as opposed to one with locks.