OSQL RTM on SQL Server 2012 SP2?
Faulting application path: \SFSMSSQL\c$\Program Files\Microsoft SQL Server\110\Tools\Binn\OSQL.EXE
Faulting module path: C:\Windows\SYSTEM32\ntdll.dll

You appear to be running osql.exe from another server via the c$ share.  If so, the local ntdll.dll is probably a different version to the osql.exe on the remote server.
Change the path
\\SFSMSSQL\c$\Program Files\Microsoft SQL Server\110\Tools\Binn\OSQL.EXE

to something like:
C:\Program Files\Microsoft SQL Server\110\Tools\Binn\OSQL.EXE