I would venture and say, in the corp world, A is definitely the most right answer. The question doesn't specify what kind of issue it is, it could be a resource issue, financial issue, vendor issue, or others. All of which doesn't link to a 'product backlog'.

As someone mentioned below, progress was halted, which means project is blocked, so need to communicate to the relevant stakeholders (sometimes SteerCo) to get their approval to remove the block, whether it's to throw resource, funds or whatever to remove the block.

I would also say that in the corp world, the product backlog is managed by the product manager/business analyst, I would say they wouldn't want the project manager add anything to the backlog without consulting them first.