Official Explanation Magoosh :
Split #1: the progressive verb is not inappropriate. We don't need to know whether life on some other planet is in the process of developing at some exact instant. That's not the concern of the sentence. The future case in (B) therefore doesn't fit.
Split #2: according to the scientists, the conditions themselves already guarantee that life "could develop". If a planet meets these conditions, there's nothing hypothetical in question --- we know life "could
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