The south wall has windows on it, sorry, should've marked those!

Option A is my vote.

Only con is you may have traffic through your "work triangle" but having the refrigerator right next to the stove is not good.

Option A gives you more continuous counter space.

Very large open space in the middle of the kitchen seems non-ideal -- would rather move some kitchen onto wall at bottom, open wall on right, and make an island that's closer to the rest of the kitchen. Honestly, just switching to a U seems like it would make a better kitchen, but maybe those are full-height windows, or glass doors?? Too little info.

You're correct, acm. Ideally we could use the bottom wall, but the way it's laid out right now, that would include a lot more work than we can afford (moving windows and plumbing and HVAC).

I would put the sink and fridge near each other and the stove on the opposite side of the room.

A - space on both sides of cook area; more energy efficient for your refrigerator; Like the penisula idea if it can work then swap the fridge and stove or take the wall out and create an island if you have the space.

In that case, I'd stick with Plan A and leave the wall -- you have your storage all together, and your prep zones near each other. Only drawback is that you have to turn from the fridge and walk 8 feet to set something down, so I'd think about putting a small rolling cart against the wall with the windows, just for getting stuff out for dinner. (Am assuming that the hatched square is an enclosed pipe chase or something, or I'd say put a patch of counter there.)

We spend most of our time prepping food between our sink and the range so obviously Plan A - especially if you are on a budget. I would suggest that you look at Frameless cabinets for more storage and use wide drawer bases for pot-n-pan storage as opposed to standard base cabinet and definitely not bases with roll outs. You will maximize your storage space by doing that. It would be nice if you could incorporate some counter space to help with the new refrigerator location - the suggestion of a rolling cart is not a bad one - unfortunately and actual island is out of the question. Hope this helps.

Are your windows on the south wall above the 3 foot mark or are they lower?

I would reverse the stove and fridge locations on plan A, and add a pullout spice shelf inside the pantry to be convenient for the cook. You want the fridge to have plenty of surrounding counter space and be close to the sink for easy prep.

Have you thought about a center island?
Since you were thinking about knocking out a wall to introduce a peninsula(I'm assuming for eating or quick meals) this could possibly be another solution.
You could place your dishwasher and sink within your island, plus some extra storage, and on the other side there could be space for an eating section- maybe 3 or 4 counter-stools.

You might consider (in working from the current Layout B) removing the pantry and sliding the frig against the south wall. Install 15" uppers and 1 lower drawer stack next to that, followed by the range (with microwave/draft fan mounted above it) and another 15" upper and lower drawer stack next to the corner units (or a narrower spice cabinet and upper cabinet between the frig and range and wider drawer stack and upper cabinet on the north side of the range).

If the cabinets on the east wall are uppers and lowers, I would consider making that all full-height pantry-type storage or keeping the narrower cabinet unit for the coffee pot and making the wider cabinet a full-height pantry unit.

I first preferred Layout A, but I have a couple of concerns about it:

If you move the current frig to the other wall, will the door always swing the least-convenient direction (opening to the south) or can that be remedied?

There is no convenient place to set food out of the refrigerator or to set it as you are putting groceries or left-overs away.