From my experience, if you are trying to get to a local file from drive, you would not need localhost and would have something like file://c$/<location>...
If you are getting a file from application server/container, then your path would be relevant to that application server and not have any references to local machine drives.
I am seeing in the logs file locations specified like:
file:// \\\\localhost\ \c$/users/ admini~ 1/appdata/ local/temp/ tmpzfhvao/ gogo/tmp- juju-testxi4oov /check- 391658961628711 3937/4/ tools/streams/ v1/index. json
From my experience, if you are trying to get to a local file from drive, you would not need localhost and would have something like file:// c$/<location> ...
If you are getting a file from application server/container, then your path would be relevant to that application server and not have any references to local machine drives.